### Comment:
Yeah that's what I'm afraid of.  I started with trading stocks so I know the mechanics are different with options.   But I'm still confused on what you're saying.  What difference would it make if I bought on confirmation (selling slowed, or first up green candle created), compared to buying contracts when underlying price is still falling and that underlying price still going down essentially against me? Does that have to do with the IV?

### REPLY:
I’m definitely no pro, but this may help... Short dated options can have extreme price movements. All options are priced on 3 main factors: time value, volatility, proximity to underlying price. These factors give you a mathematical probability of the underlying reaching that price by expiration. If the underlying is tanking the near dated options pricing adjusts quickly to accommodate the possibility and likelihood that the drop will continue... ie puts get more expensing.

### END.