Editor's Note:

FYI: The market is only open half a day on Monday (closes at 1:00 p.m. ET) and the U.S. markets are closed on Tuesday for the Christmas holiday. We will not be publishing any updates on Monday or Tuesday.

From our family to yours, we wish you a Merry Christmas.
See you on Wednesday, December 26th.



NEW BULLISH Plays

Dunkin' Brand Group - DNKN - close: 32.83 change: -0.21

Stop Loss: 31.25
Target(s): 35.75
Current Gain/Loss: unopened

Entry on December xx at $ xx.xx
Listed on December 22, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 1.1 million
New Positions: Yes, see below

Company Description

Why We Like It:
Analysts have been turning more bullish on shares of DNKN in recent weeks. In addition to DNKN's donut business they have been doing well with their k-cup single serving coffee products. Aggressive traders could launch new positions now. I am suggesting we buy a dip at $32.50 near its 10-dma. More conservative traders could look for a dip near $32.00 instead.

If we are triggered at $32.50 our multi-week target is $35.75. FYI: The Point & Figure chart for DNKN is bullish with a long-term $64 target.

buy a dip trigger @ $32.50

Suggested Position: buy DNKN stock @ (trigger)

- (or for more adventurous traders, try this option) -

buy the 2013 Mar $35 call (DNKN1316c35) current ask $0.85

Annotated chart:



SouFun Holdings - SFUN - close: 24.46 change: -0.54

Stop Loss: 22.85
Target(s): 27.25
Current Gain/Loss: unopened

Entry on December xx at $ xx.xx
Listed on December 22, 2012
Time Frame: 6 to 8 weeks
Average Daily Volume = 357 thousand
New Positions: Yes, see below

Company Description

Why We Like It:
SFUN operates a Chinese web portal focused on real estate. When SFUN reported earnings back in November they raised their revenue guidance. This news helped fuel a rally to new 2012 highs. SFUN is breaking out again after almost three weeks of consolidating sideways and digesting gains. There is a growing chance that SFUN could see a short squeeze. Actually it looks like the short squeeze started on Thursday. The most recent data listed short interest at nearly 19% of the very small 14.2 million share float.

I do consider this an aggressive, higher-risk trade. Therefore I am suggesting we keep our position size small to limit our risk. Buy SFUN on Monday morning with a stop loss at $22.85. Our target is $27.25.

*Small Positions*

Suggested Position: buy SFUN stock @ (the open)

Annotated chart: