Najarian Brothers See Unusual Option Activity in $GLD, $LK, $EEM, $XLV & $SPY

On today’s CNBC Halftime Report, Jon and Pete Najarian are seeing unusual option activity in $GLD, $LK, $EEM, $XLV and $SPY

Pete is seeing unusual activity in $GLD, as traders purchased 4,000 of the 31December $160 calls for $1.64 as part of a bullish spread. The trade breaks even when shares of the GLD reach about $161.65, and Pete noted that the conviction from the traders has kept him in some of his precious metals positions.

Pete is also seeing unusual activity in $LK, as traders purchased 5,000 of the December $20 calls for $4.30 as part of a bullish spread as well. Pete bought stock in LK, and sold an upside call against his position, utilizing higher implied volatility as an asset.

Jon is seeing unusual bearish activity in $EEM, as traders purchased 62,000 of the September $37.50 puts for $0.57.

Also, Jon sees unusually bearish activity in $XLV, as traders purchased 5,000 of the 30August $90 puts from $1.06 to $1.12.

Lastly, Jon is also seeing unusual activity in the $SPY, as traders purchased 11,000 of the October $276 puts for $5.43 as part of a bearish spread.