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Jon Najarian’s Best Trade For 2010

Which sector does OptionMonster Jon Najarian like best going into 2010? What he says, just might surprise you!

If he could place bets in only one sector next year, Najarian tells the Fast Money desk that it would have to be the housing sector.

That’s right housing!

Despite 10% unemployment and consumer confidence in the doldrums, Najarian thinks housing stocks are ripe for the picking.

For the first time in 4 years Moody’s rated the sector as stable, says Najarian. (The ratings service cited rising sales and the most affordable property market in years.)

And Najarian points to recent options action to support the thesis. He’s seen put buying spike in KB Home, Toll Brothers and Ryland Group . But he interprets the action as bullish.

I think big investors are loading up the boat, and the massive put buying is for protection. “Watch out for the upside, folks!”




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Trader disclosure: On Dec. 18th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Adami Owns (AGU), (BTU), (C), (GS), (INTC), (MSFT), (NUE); Pete Najarian Owns (M) Calls; Pete Najarian Owns (MS), Is Short (MS) Calls; Pete Najarian Owns (UUP) Call Spread; Pete Najarian Owns (MRVL); Finerman's Firm Is Short (IJR), (MDY), (SPY), (IWM), (UNG); Finerman Owns (AAPL); Finerman's Firm Owns (BCR), (M), (MSFT), (NOK), (TGT), (WMT); Finerman's Firm Owns (BAC) Preferred, (BAC), (BAC) Call Spread; Finerman Owns (BAC) Preferred, (BAC); Finerman's Firm And Finerman Own (WFC) Preferred; nerman's Firm And Finerman Own (FLS)

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