wow, they really killed the price of the PUTs, i was expecting at least a 4 bagger, they dropped that IV like a rock, lucky to get 100%, lukcy to get 50%.
lucky they didnt just drop the IV to zero and id owe them money.
not always debbie. sure it drops, but typically doesnt wipe out a 4 point move entirely.
take NFLX for example, the $125 CALLs sold for $.37 before the close on earnings day, the next day they sold for $22.00. the day after $46.00 each, thats a tiday $4.600,000, profit in two days on 1000 contracts, i had contracts but not 1000, but a heck of alot.
they didnt sap the IV on that one, so NO jack wagon debbie downer, it doesnt happen all the time.
but of course, in YOUR WORLD everything is down, every day !