Mike Khouw Sees Unusual Options Activity In Apple

Mike Khouw spoke on CNBC's "Options Action" about unusually high options activity in Apple Inc. AAPL. He said that calls outnumbered puts two to one Tuesday and a lot of that activity was in the January 12 expiration calls.

During the session, Khouw noticed a purchase of 2,000 contracts of the January 170 calls for $2.50. The trade breaks even at $172.50 or 0.14 percent above the market price.