Bonawyn Eison Sees Unusual Options Activity In Intel

On CNBC's "Options Action," Bonawyn Eison said calls outpaced puts 1.7 to 1 in Intel Corporation INTC on Wednesday.

The company is scheduled to report earnings on Thursday after market close and the options market is implying a move of about 6% in either direction, between now and Friday. The average move over the last four quarters is 9%.

One trade caught Eison's attention on Wednesday. There was a purchase of about 3,000 contracts of the January 22, $56 puts for 53 cents. The breakeven for the trade is at $55.47. Eison explained traders probably think there could be a pullback into and coming out of earnings.