Alan Knuckman's iShares MSCI Germany Index Fund (ETF) Trade

Alan Knuckman of Bulls-Eye Option spoke on Bloomberg Markets about a bullish options trading idea in iShares MSCI Germany Index Fund (ETF)EWG.

He explained that the German DAX Index is usually correlated with the S&P 500, but this year it's trading 8 percent lower, while the S&P 500 is up 8 percent. Knuckman believes things might improve for the DAX Index and that it's going to catch up with the S&P 500.

To make a bullish trade on the German market, Knuckman wants to buy the January 2018, 22 strike call in iShares MSCI Germany Index Fund (ETF) for $3.75. The trade breaks even at $25.75 or 4.08 percent above the current market price.