Dan Nathan Sees Unusual Options Activity In Costco Ahead Of Earnings

On CNBC's "Options Action," Dan Nathan spoke about Costco Wholesale Corporation (NASDAQ: COST). The company is scheduled to report earnings on Thursday after the market closes and the options market is implying a move of 5% in either direction, which is basically the average move over the last four quarters.

See Also: Costco Wholesale's Q4 Earnings Preview

Nathan said there was a lot of volume in the short-dated calls on Wednesday. It seems that traders were looking for a continuation of the uptrend as calls outnumbered puts two to one.

Costco traded around $286.75 per share at time of publication.

Photo credit: Tony Webster, via Wikimedia Commons