Krispy Kreme Doughnuts (KKD) has been in a choppy sideways pattern from $16.00 to $21.00 in 2014.
GAP REVIEW
On June 3, 2014, KKD gapped down and broke to $16.00 the lower part of this sideways choppy consolidation. KKD is in hunt of demand and has not been able to find any buyers down here at $16.00. Also KKD is trading below its 200 daily moving average suggesting allot of overhead supply from the previous uptrend that existed in 2013.
KEY LEVEL
Supply exists into $16.90 from the gap day high and has key demand levels at $14.00 and $12.00.
THE TRADE
Short any break of $16.00 with a stop of $16.99. Targets would be $14.00 and $12.00.
Disclosure Swing Newsletter Subscribers are short KKD from 6/4/2014
