IWM November $110 Calls: New Aggressive Trade

Small-cap stocks were the first to turn down this year, but they were also the first to bottom in October. The Russell 2000 is starting to make a move above its 50-day moving average and is also now attempting to get above its 200-day moving average, both very positive signs. While I don’t expect small caps to shoot straight up from here, I do see the sector attracting money flows into the end of the year. The trade I like here is in the iShares Russell 2000 ETF (IWN). Buy to open IWM November $110 calls (exp. 11/14) at $5.05 or under. This is an aggressive play.