Mark Sebastian's Microsoft Options Trade

Option Pit's Mark Sebastian spoke on Bloomberg Markets about a long-term options trade in Microsoft Corporation (NASDAQ: MSFT).

He wants to buy the January 2020 105/135 call spread for $10. The trade breaks even at $115 or 6.89 percent above the current market price. Its maximal profit is $20 and it is going to reach it if the stock trades to $135 at the January 2020 expiration.