Generation Trader, sponsored by ETrade, follows and highlights the most compelling business stories that are moving the market. This episode features Netflix ahead of its latest earnings report, with ETrade's Senior Equity Option Strategist Mary Ryan.

Shares of Netflix are already up nearly 18 percent this year, and on Monday shares are trading at all-time highs. Netflix stock has outperformed both Disney and Time Warner. But Time Warner's HBO has done better in the awards race both at September's Emmy's and this month's Golden Globes.

Ryan explains how traders can utilize E*Trade's drawing tool to better understand the market opportunity for a stock like Netflix.