The volume of options trading suggests to Pete that this stock could go higher. Specfically, he thinks margins could improve due to lower oil prices.

The options action in Lockheed Martin (LMT) suggests to me that this stock could go higher, explains Pete Najarian.

I bought some Apple (AAPL) calls on Tuesday, says Karen Finerman. I think they could see some strength in the back-to-school season.

The volume in the September-40 calls suggests that this stock could go higher, says Najarian.

Typically that would be seen as a bullish sign; that investors were laying down bets on a recovery in the sector hit hardest by the year-old credit crisis. Yet some option experts cautioned against taking that activity at face value because a hefty portion of that volume came from traders selling near-term call positions, a trade that may well be a bet on more trouble ahead for banks, brokers and insurance companies.

Increased volume in the October 34 calls suggests to Najarian Wells Fargo (WFC) could go higher.

In energy I’m long the United States Natural Gas Fund (UNG)but way out in April with bull call spreads.