Charts point to trouble for Nike

A stock with sizzling options

Nike shares are down ahead of Thursday's after-the-bell earnings, and some savvy traders are betting the stock could have more pain after it reports.

"The stock has performed very well and did break out before the S&P has," options expert Dan Nathan said Wednesday on CNBC's "Fast Money." Shares of the athletic apparel and footwear company are up 10 percent year to date, while the broader S&P 500 index is up just more than 2.5 percent in the same period.

According to Nathan, the options market is implying a 3.5 percent one-day move in the stock in either direction, that's 1 percent lower than the four-quarter average. And by his measure, the movement is likely to be lower.