“Speculation is floating around that Nucor (NUE) is looking at a vertical integration with this company,” explains Najarian. Over 21,000 calls have traded.

“Raytheon (RTN) is the name being thrown around as the potential buyer,” explains Najarian. 22 times normal volume in options contracts traded with April-70 calls being most active.

And also keep an eye on Wells Fargo (WFC), Najarian adds. There was a lot of put buying in this stock.

And for options action I’ve got my eye on Humana (HUM). Lots of call buying in that stock. - Pete Najarian

I’d keep an eye on Google (GOOG) and ValueClick (VCLK). Options action in VCLK suggests the stock could move higher. - Pete Najarian

Jon Najarian has spotted a surge in MEMC Electronics (WFR) call buying. The speculation is that BASF (BASFY) is taking a look at this firm.

Jon Najarian has also spotted a surge in AGN (AGN) call activity. Glaxo (GSK) and Baxter (BAX) were being tossed around as buyers.

Look at Cree(CREE), counsels Pete Najarian. The options action in the stock suggests the stock could go higher.