Najarian Brothers See Unusual Option Activity in $GDX, $SQQQ, $DBX & $PAAS

On today’s CNBC Halftime Report, Jon and Pete Najarian are seeing unusual option activity in $GDX, $SQQQ, $DBX and $PAAS.

Jon is seeing unusual activity in $GDX, as traders purchased 26,000 of the July $24 calls for $0.40 to $0.44. The trade breaks even when $GDX reaches $24.44 or so. Jon bought these calls and said that he will be in them for a couple weeks, as well as the $GLD.

Jon is also seeing unusual activity in the $SQQQ, as traders purchased 10,000 of the July $55 calls for $1.50. Jon bought these calls and mentioned that, while the trade could possibly be protection against a long position, that these calls provide a great hedge against a portfolio. The trade breaks even with shares at $56.50 and Jon plans to hold the calls for a few weeks.

Pete is seeing unusual activity in $DBX, as traders purchased over 20,000 of the July $23 calls for $0.95 to $1.10. The trade breaks even with the stock around $24.00. Pete bought these calls and will be in them for at least a month or so.

Lastly, Pete sees unusual upside activity in $PAAS, where the bulls are buying 4,250 of the July $12 calls for $0.40 to $0.45. The trade breaks even with shares at around $12.45. Pete bought these calls, noting that silver has lagged gold during its most recent uptrend.