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Jon Najarian IDs Unusual Action in This ETF

Jon Najarian suggests putting this ETF on your radar after his proprietary heat seeker picked up some unusually bullish activity.

After declines of 10%, the OptionMonster has spotted unusually large volumes of call buying in the GDX, the Gold Miner’s ETF.

“I’m seeing people come into the miners. People are buying call spreads,” he says.

“They may be early but they’re clearly betting that after the sell-off, the miners are about to bounce,” he explains.

DocJ suggests the trade is purely technical and related to the price of gold, which is trading near a key technical level. If the price of gold bounces, the bet outlined above is that the GDX bounces too and with greater velocity.

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Trader disclosure: On March 6, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders: P. Najarian is long AAPL; P. Najarian is long C; P. Najarian is long INTC; P. Najarian is long YHOO; P. Najarian is long COP; P. Najarian is long WLT; J. Najarian is long IBM call spreads; J. Najarian is long QCOM call spreads; J. Najarian is long GDX call spreads; J. Najarian is long GDXJ call spreads; J. Najarian is long CRM call spreads; J. Najarian is long FIO call spreads; J. Najarian is long KERX call spreads; Baker is long QCOM; Baker is long GLD; Baker is long SLV; Baker is long MU; Kilburg is long 10yr; Kilburg is long TLT; Kilburg is long GLD; Kilburg is long SPXU; Karabell is long VALE

For Patty Edwards
Trutina Financial is long COST
Trutina Financial is long AAPL
Trutina Financial is long JNK
Trutina Financial is long INTC
Trutina Financial is long QCOM
Trutina Financial is long HLF
Trutina Financial is long WLT

For John Blackledge
I, John Blackledge, certify that (1) the views expressed in this report accurately reflect my personal views about all of the subject companies and securities and (2) no part of my compensation was, is or will be directly or indirectly related to the specific recommendations or views expressed in this report.

For Paul Forward
CONSOL Energy Inc. is provided with investment banking services by Stifel, Nicolaus & Company, Inc. or was provided with investment banking services by Stifel Nicolaus or an affiliate within the past 12 months.
CONSOL Energy Inc. is provided with non-securities related services by Stifel, Nicolaus & Company, Inc. or an affiliate or was provided with non-securities related services by Stifel Nicolaus or an affiliate within the past 12 months.
Stifel, Nicolaus & Company, Inc or an affiliate has received compensation for investment banking services from CONSOL Energy Inc. in the past 12 months.
Stifel, Nicolaus & Company, Inc. expects to receive or intends to seek compensation for investment banking services from CONSOL Energy Inc. in the next 3 months.
Stifel, Nicolaus & Company, Inc. makes a market in the securities of CONSOL Energy Inc..



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