Posted by jtsurfah on 11th of Jun 2021 at 01:07 pm
SAVA - Selling 75 strike puts expiring next Friday for ~$530
each...a 303% annualized return, if the options expire worthless.
Could play it safer and sell 70 strike puts for $300 each
(176% annnualized). Also considering buying long puts
underneath to limit risk.
Posted by ridgetopab on 11th of Jun 2021 at 01:43 pm
SAVA Hey jtsurfah,; nkd puts on a biotech name is a risky play
(especially on a bounce), best to have protection with a long put
covering (spread), without your risk far exceeds your premium
(stock price to zero = $-7500/contract or - 1,415%), not sure about
your 303% annual gain calc as return on expiry will be nearly
infinite %, (i.e. 530 gainn/0 cost (or commission + margin
cost if that applies)) * 365/7.
SAVA Daily View
Posted by steve on 11th of Jun 2021 at 10:53 am
SAVA - Chart Link - beautiful example of 9 day EMA bounce
SAVA wow
Posted by steve on 11th of Jun 2021 at 12:12 pm
SAVA wow
SAVA - Selling 75 strike
Posted by jtsurfah on 11th of Jun 2021 at 01:07 pm
SAVA - Selling 75 strike puts expiring next Friday for ~$530 each...a 303% annualized return, if the options expire worthless. Could play it safer and sell 70 strike puts for $300 each (176% annnualized). Also considering buying long puts underneath to limit risk.
SAVA Hey jtsurfah,; nkd puts
Posted by ridgetopab on 11th of Jun 2021 at 01:43 pm
SAVA Hey jtsurfah,; nkd puts on a biotech name is a risky play (especially on a bounce), best to have protection with a long put covering (spread), without your risk far exceeds your premium (stock price to zero = $-7500/contract or - 1,415%), not sure about your 303% annual gain calc as return on expiry will be nearly infinite %, (i.e. 530 gainn/0 cost (or commission + margin cost if that applies)) * 365/7.
Good luck
Thanks
Posted by steve on 11th of Jun 2021 at 01:11 pm
Thanks