Buy Molina Healthcare June 16 2017 Straddle

I am recommending the purchase of a Molina Healthcare June 17 55 Straddle.

Buy to Open Molina Healthcare June 16 55 Call Option (MOH_170616C0005500) up to $8.

Buy to Open Molina Healthcare June 16 55 Put Option (MOH_170616P0005500) up to $8

Rational for the trade: Molina is a leading provider of Medicaid HMO insurance plans. As Trumpcare develops, the potential for a big move in this stock by the middle of the year is large. At the current price and with the current technical activity in the underlying stock, this is an excellent entry point which provides above-average upside potential while having plenty of time for the trade to develop.

I own this straddle.

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