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Despite bullish bets, this stock's chart 'looks like death'

Options Action: Time to buy Goldman?
Options Action: Time to buy Goldman?

After a rough start to the year, some traders are banking on a turnaround for shares of Goldman Sachs.

U.S. and European bank stocks have sold off severely this year amid investor concerns over persisting low interest rates and exposure to energy loans. In the U.S., Goldman Sachs has been one of the worst bank stocks of the year, having fallen 15 percent year to date.

But on Thursday, one trader bought 8,000 of the April 165-strike calls for $1 per share. This is an $800,000 bet that Goldman Sachs shares rise above $166 by April expiration, or 8 percent above where the stock traded on Friday.

CNBC contributor Mike Khouw noted that while the trade expires before Goldman Sachs reports first-quarter earnings, the trader may be looking to JPMorgan's earnings as guidance for the rest of the banking industry.

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"It does capture JPMorgan's earnings, and that might actually be able to be the bellwether, essentially, for Goldman Sachs," Khouw said Thursday on CNBC's "Fast Money."

Khouw said that while the beleaguered stock looks cheap right now, the recent performance doesn't lend itself well to any optimism.

"When you take a look at a price chart ... it kind of looks like grim death," he said.