This is one stock that just hasn't been working out.
Shares of the high-end athletic retailer Lululemon have been a sheer disappointment to investors lately, down nearly 20 percent in the last three months, while competitor Nike is up 14 percent in that period. But according to one trader, a turnaround could soon be afoot.
"I think the bottom is in for Lululemon," Andrew Keene said Thursday on CNBC's "Trading Nation." For Keene, a combination of bullish options activity and a constructive technical setup could propel the stock as much as much as 15 percent by the end of the year.
"The stock has been massively underperforming the broader market but it looks like it's consolidating at this $49 level," he said. In addition to that consolidation, Keene noted that a double bottom is forming on the chart. Technicians often look at double bottoms as foreshadowing a rebound. "I think we could retest resistance at $57.50." The stock is currently trading below $49.