Dan Nathan's Sprint Nextel Corporation (S) Trade

On CNBC's Options Action, Dan Nathan speculated about a take over of Sprint Nextel Corporation S by Verizon VZ. He recommended a bullish options strategy in Sprint (S). Dan Nathan wants to sell the January (12) 4 put for $0.37, and buy the January (12) 5 put for $0.57. This trade would cost him $0.20, and the break even for this trade is at $5.20. Sprint Nextel Corporation (S) gained 2.63% on Friday, and it closed at $4.68.