Sell to close the July 21, 2017 put on Spectrum Brands (SPB) with a strike price of $130 at $4.55 or higher. Symbol (SPB170721P130) for a 42% gain in less than one month. These options have not traded today but the stock is falling fast so sell at higher of the mid-point between the bid and ask or the last trade to ensure you get the best price

Yesterday, Spectrum reported a bear trifecta by missing revenue and earnings estimates and lowering guidance going forward. Wal-Mart is pushing for lower pricing and all customers are pushing back on the amount of inventory they choose to hold.

We may come back and revisit bearish trades in this group as the pain from customer price squeezes is just beginning.