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Dendreon (DNDN) Tuesday. Cure for Cancer? Does stock go to $0, or $75 after Tues.?
- Thread starter wilburbear
- Start date
Quote from Clubber Lang:
If you were really up 1500% on your positions and you were holding into the news, you really have no one to blame but yourself.
If you're up 1500% on your calls, you should be taking some money off the table (roll or close some) or hedging the gains (buy puts, convert to spreads, short some stock) etc.Quote from SCI new york:
they halted the stock, was I supposed to know when they were going to do that?
Quote from SCI new york:
they halted the stock, was I supposed to know when they were going to do that?
Yep. We knew it's be halted. Rumor was 2. I closed out everything into CNBC. But I tried to buy back at 11 and change, and it was halted. It was a know event. The time, that was the variable. you had to play safe.
Good news? I think this is much higher. Do some reading,fuck Wall St. This is a blockbuster drug. Maybe a little shake and bake, but this is very real.
"The prospect of an unpartnered cancer drug with strong data from a company with a platform that could produce future pipeline candidates may be too good for suitors to pass up - especially as Dendreon still only has a market value of $2.3 billion.
Last year, Eli Lilly & Co (LLY) paid $6.5 billion for ImClone Systems, citing its attractive pipeline of biologic cancer therapies, even though ImClone's only product, cancer drug Erbitux, was already partnered with Bristol-Myers Squibb Co. (BMY)."
-Thomas Gryta; Dow Jones Newswires; 201-938-2053; thomas.gryta@dowjones.com
I knew that it would be halted, but I was under the impression it would be halted at 2pm, obviously some big players new it would be halted sooner and pulled that crushing move.
I did hedge my bet, I owned puts as well as my calls
I should have taken some off the table, but I wasnt able to since the stock was halted so abrubtly after that move.
I definitely learned a good hard lesson on these plays, but I think that drop is bullshit. Nasdaq got paid good money to let those trades stand.
Havent been screwed like that since my exgirlfriend
I did hedge my bet, I owned puts as well as my calls
I should have taken some off the table, but I wasnt able to since the stock was halted so abrubtly after that move.
I definitely learned a good hard lesson on these plays, but I think that drop is bullshit. Nasdaq got paid good money to let those trades stand.
Havent been screwed like that since my exgirlfriend
This stock is a trading vehicle as in it will take your ass for a horrific ride at any moment's notice.
I don't see how change in price of your options has *anything* to do with that drop. Zero, zip, nothing.Quote from SCI new york:
they halted the stock, was I supposed to know when they were going to do that?
when the stock ran up my calls were worth nearly 8, i paid 1.40
my put options went from 89 cents to 6 dollars before the news came out when the stock dropped down, but there wasn't enough time to close them out. besides, the whole point of the spread was FOR the news so i was waiting for it to come out. that drastic drop killed the whole situation apparently.
As others said, it's because of implied volatility that your options were so rich in the first place. As of two days ago, DNDN could've gone to either 0 or 100 as soon as the news broke... therefore, options were extremely rich.
Immediately upon the news being known, we knew the price wasn't going to 0 or 100, and implied volatility went poof.
Again, *nothing* to do with the drop in price. Only those who bought/sold within that quick drop were affected by it.
Quote from heech:
I don't see how change in price of your options has *anything* to do with that drop. Zero, zip, nothing.
As others said, it's because of implied volatility that your options were so rich in the first place. As of two days ago, DNDN could've gone to either 0 or 100 as soon as the news broke... therefore, options were extremely rich.
Immediately upon the news being known, we knew the price wasn't going to 0 or 100, and implied volatility went poof.
Again, *nothing* to do with the drop in price. Only those who bought/sold within that quick drop were affected by it.
Do you trade options? Yes implied volatility plays a large role, but the price of the stock will be a bigger indication on the option value. The closer the stock comes to the strike price, the valuation increases.
Quote from SCI new york:
I knew that it would be halted, but I was under the impression it would be halted at 2pm, obviously some big players new it would be halted sooner and pulled that crushing move.
I did hedge my bet, I owned puts as well as my calls
I should have taken some off the table, but I wasnt able to since the stock was halted so abrubtly after that move.
I definitely learned a good hard lesson on these plays, but I think that drop is bullshit. Nasdaq got paid good money to let those trades stand.
Havent been screwed like that since my exgirlfriend
The market is nothing but a financial casino, and wall street is the house. Expect that someone is going to get screwed daily, so you carve out profits were you can.