SAVA Trade on Jul 30, 2021 13:39 from iSELLfireinHELL: Tradervue User Stock Trades.

Buy the rumor, sell the news type of play. They presented their Alzheimer's data at the national conference and the stock tanked, even though the data was positive. I decided to take advantage of the IV and 30% dump by BTO a strangle for a $6.35 credit. I am looking to take this down at a 50% gain. If it continues dumping, I will look at rolling down and out and also rolling my call side down. I'll assess if we cross that bridge.

On 8/13 the IV went up like a rocket and my call side was negative 500% roughly, even though the 150 strike still wasn't breached. I decided to scale in and STO 2 210 calls and another 200 call on 8/16. On 8/17 the IV shot up again and basically doubled which put me in a margin call. I was forced to BTC the 210 and 200 calls for a loss. I also closed the 50 put for a small profit to avoid any more margin issues.

On 8/19 I STO another 60 put as the IV was still super high for $5.8.

On 8/20 I STO another 75 put for $8. Trying to dig myself out of a hole.

This SAVA saga has been a disaster. On 8/26 reports came out stating their data was fraudulent. The price subsequently tanked on 8/27 at market open. My 75 put went deep ITM so I rolled it out to 10/15 and down to 70 for a 0.55 credit
I then STO 100 and 120 call exp 10/15 and -2 35 put for same expiration. Lets see if i can dig myself out of a hole.

LESSON LEARNED: If the underlying has not breached strike...DONT FUCK WITH IT. There was no need for me to sell more calls. IV fucked me when it shot up and my calls went underwater even though the strikes were nowhere near being touched.