Energy Bulls Are Turning to BP

Option traders have been focused on the energy sector for weeks, and yesterday they turned their attention to BP.

The March 46 calls stood out in particular, seeing more than 5,800 contracts trade for $0.38 and $0.39. That volume was slightly above the open interest in the strike before yesterday's trading began, indicating that new money was being put to work.

Calls lock in the price where investors can buy shares, so they can produce significant leverage in the event of a rally. But if the stock doesn't move, these options will expire worthless.

BP fell 0.36 percent to $44.11 yesterday. The options activity remained pretty positive throughout the session, with 25,000 calls trading in all strikes versus 15,000 puts. Total volume was twice the daily average.

—By CNBC Contributor Pete Najarian

Additional News: BP Forecasts Boom in Alternative Energy

Additional Views: Bulls Bank on Gains in JPMorgan: Najarian

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Pete Najarian is a professional investor, CNBC contributor, regular co-host of CNBC's "Fast Money" and co-founder of OptionMonster.com. Najarian has no positions in BP.

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