Mike Khouw's Green Mountain Coffee Roasters (GMCR) Trade

Mike Khouw said on CNBC's Fast Money that investors with a long position in Green Mountain Coffee Roasters Inc. GMCR should think about a strategy that will help them to protect their gains. This stock gained 18% in less then two weeks. Mr. Khouw suggested investors to consider an options strategy that will give them protection. He wants to sell the January 40 call, and the January 30 put for $1.90 each. Additionally, he would buy the January 35 put for $3.70. This trade structure would generate $0.10, and it kicks in with the protection immediately. It also offers some upside gains, up to $40. Green Mountain Coffee Roasters Inc. (GMCR) gained 3.07%, and closed at $35.42 in the regular trading session. It added additional 1.39% in the after hours.