Mark Sebastian's Charles Schwab Options Trade

Mark Sebastian of Option Pit spoke on Bloomberg Markets about a bullish options trade in Charles Schwab (NYSE: SCHW). The company recently announced its decision to reduce commissions and fees to zero, but Sebastian is not worried because it gets the least amount of commission among the major online brokers.

See Also: How And Why Are Online Brokers Offering Commission-Free Trades?

He expects to see a big move higher in the name and he wants to buy the January 2020, $35 call for $2.80. The trade breaks even at $37.80 or around 5.5% above the current stock price.