timwest

PAIRS TRADE - Dunkin Donuts DNKN long vs Starbucks SBUX short

NASDAQ:DNKN   None
PAIRS TRADE:

Dunkin Donuts versus Starbucks

DNKN and SBUX trade in a tight range of about 20% per year (note the blue box at the bottom of the chart) and now DNKN is lagging SBUX by 18%. Upside potential is roughly 10%-15% and risk is 5%.

DNKN 44.04 last -0.29 on the day
SBUX 74.69 last +0.73 on the day

Friday, June 13, 2014 5:43PM EST

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