### Comment:
Because implied volatily drops off a cliff around an earnings announcement, you often see options contracts losing a significant portion of their value. 
  
 Dont fucking trade options around earnings.

### REPLY:
Hilarious. Each time I noticed this it was after an earnings drop. The implied volatility stops because all the guess about what earnings will do were proven right or wrong (for the time being) when earnings are announced, right? So it's not that a 3% change in the underlying stock makes the options drop/rise 50% it's because underlying volatility changed.

### END.