Buying to Open the DNKN March 2015 45 Put

While holding all open trades, consider a put option on Dunkin Brands (DNKN).

After filling its bearish gap, shares look a bit toppy, with reversing MACD, RSI and MFI. I’d like to see a drop to at least $43,50 on the stock.

At the moment, DNKN is a bit of a volatile mess after an earnings miss on poor sales. It also lowered guidance but tried to force the stock higher with a dividend increase.

But no one is thrilled with the news.

Consider buying to open the DNKN March 2015 45 put up to $1.60.

Ian L. Cooper
Inside Value Trader