With AppLovin, I ended up losing around $20,000 in total.
I had sold puts right before earnings (without realizing it), collected insane premiums—like $2,000 per contract—and thought I had cracked the code.
But after a short seller report dropped and the stock tanked from over $500 to around $230, I got assigned twice at $370.
Tried to recover by selling covered calls… but sold them below my cost basis, and the stock shot back up. Got called away at a loss. Brutal.
Hard lesson in risk, volatility, and why high premiums often come with hidden traps. Still stings, but hey—rookie scars build seasoned traders, right? 😅📉
It's a hard lesson to learn! The same happened to me with CRM - assignment, stock drops, sell covered call below original strike, stock rebounds and the call goes ITM.
Uff… that hurts to read because it’s exactly what happened to me with AppLovin too.
Assignment, stock tanks, I panic, sell a covered call under my cost basis, then boom — rebound, call goes ITM, shares get called away… massive loss locked in.
We basically got caught in the classic rookie combo:
Estoy más enganchado a tu historia que a la droga. Ganas de saber más jajaja
Jajaja eso me honra y me asusta al mismo tiempo.
Prometo que esta historia tiene más giros que NVIDIA en semana de earnings.
Y lo mejor (o peor) es que todo es real: las caídas, las ilusiones y las metidas de pata con opciones dignas de telenovela financiera. 📉💔📈
Gracias por seguir leyendo, ¡el próximo capítulo viene con más drama, más risas y, por supuesto, más pérdidas educadoras! 😂📚
Ouch, getting assigned on a stock only to watch it tank is painful! I feel you.
What was your total loss after getting the shares called away?
With AppLovin, I ended up losing around $20,000 in total.
I had sold puts right before earnings (without realizing it), collected insane premiums—like $2,000 per contract—and thought I had cracked the code.
But after a short seller report dropped and the stock tanked from over $500 to around $230, I got assigned twice at $370.
Tried to recover by selling covered calls… but sold them below my cost basis, and the stock shot back up. Got called away at a loss. Brutal.
Hard lesson in risk, volatility, and why high premiums often come with hidden traps. Still stings, but hey—rookie scars build seasoned traders, right? 😅📉
It's a hard lesson to learn! The same happened to me with CRM - assignment, stock drops, sell covered call below original strike, stock rebounds and the call goes ITM.
Uff… that hurts to read because it’s exactly what happened to me with AppLovin too.
Assignment, stock tanks, I panic, sell a covered call under my cost basis, then boom — rebound, call goes ITM, shares get called away… massive loss locked in.
We basically got caught in the classic rookie combo:
assignment + desperation + poor call strike = pain 😵💫
You’re not alone, mate — we’re collecting scars and wisdom one trade at a time. 💸
Next time, I’m keeping the shares and selling calls ABOVE my cost basis, no matter what.