Trader sees slide ending in Tiffany

Tiffany has pulled back from record highs in recent weeks, but one trader is betting that further losses will be limited.

optionMONSTER systems show that 3,332 November 856 puts have traded, led by a block of 2,208 that was sold for $1.25 on a wide bid/ask spread. The previous open interest in the strike was just 458 contracts, showing  that this is a new position.

The put seller, who keeps the $1.25 credit, is betting that TIF will stay above $85 in coming weeks. The trader takes the risk of having to buy shares if they fall below that strike price.

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