Tim Biggam's SPDR S&P 500 ETF Trust Trade

Speaking on Bloomberg Markets, Tim Biggam of Delta Derivatives said he is expecting a pull back in SPDR S&P 500 ETF Trust (NYSE: SPY). He explained that price to sales multiple is at levels we haven't seen since 2000 and he added that price to earnings also looks a little bit stretched.

To make a bearish bet, Biggam wants to buy the April 204 puts for $3. The break even for the trade is at $201 or 1.85 percent lower than the closing price on Thursday.