Nasdaq Biotech ETF (IBB) – Bullish Options Action Trade for Dec 3rd, 2018

On Friday’s Options Action, the crew analyzed the performance of the healthcare sector. After underperforming the market over the past few years, it has become the best performing sector in 2018. Within the sector, biotech looks attractive with lower valuations and will likely outperform over the next few months. Expecting biotech to bounce higher, Michael Khouw suggests buying a Jan 108.33 Call for a $4.00 Debit. As of Friday’s close, these call options were trading at a $4.30 Debit.

We’ve structured this trade in OptionsPlay so you can analyze and view this trade along with the supporting technical chart at your convenience. You can also view the Options Action’s video by clicking on the following link: 

IBB Options Action Video