💊 CDTX Options Alert: $1.8M Complex Biotech Strategy - FDA Catalyst Play!

📅 August 14, 2025 | 🔥 Unusual Activity Detected | 🎯 Strategy: Multi-Leg Calendar Spread

---

🎯 The Quick Take

Holy moly! Someone just executed a sophisticated $1.8M multi-leg options strategy on Cidara Therapeutics! They bought $1M in November calls while selling puts and calls across different dates - this is institutional positioning for the FDA End-of-Phase 2 meeting happening THIS MONTH! With CDTX up 127% YTD, someone's betting on the next catalyst! 🚀

Translation for us regular folks: Smart money is using a complex strategy to play the FDA meeting cheaply - they're bullish but hedging their bets with multiple expiries and strikes. Classic biotech catalyst positioning! 💉

---

📊 Options Tape Breakdown

🐋 WHALE ALERT: Complex FDA Catalyst Strategy Detected!

📈 Trade Metrics Dashboard

Metric	Value	What It Means
Total Volume	4,000 contracts	Institutional positioning
Net Premium	$63K collected	Premium harvesting strategy
Spot Price	$62.04	Current stock price
Strike Range	$45-$70	Wide collar structure
Strategy Type	Calendar Spread	Time and volatility play
FDA Catalyst	August 2025	Imminent binary event

🎬 The Actual Trade Tape

🕐 Time: 11:32:40 AM
📊 Order Type: Complex multi-leg
🎯 Execution: All MID pricing

Time	Side	Type	Strike	Expiry	Volume	Open Interest	Premium	Spot Price	Execution
11:32:40	🟢 BUY	📈 CALL	$65	2025-11-21	1,000	21	$1M	$62.04	MID
11:32:40	🔴 SELL	📉 PUT	$45	2026-02-20	1,000	291	$562K	$62.04	MID
11:32:40	🔴 SELL	📈 CALL	$70	2025-09-19	1,000	12	$301K	$62.04	MID
11:32:40	🔴 SELL	📉 PUT	$55	2025-09-19	1,000	28	$200K	$62.04	MID

⚡ Strategy Detection: CALENDAR COLLAR WITH FDA CATALYST TIMING

What This Means in Plain English: - 🎯 LONG NOVEMBER CALLS: Main bullish bet through FDA decision - 💰 SELLING PREMIUM: Funding the trade by selling puts/calls - 📊 NET CREDIT: Collected $63K while getting long exposure - ⏰ CALENDAR PLAY: Different expiries to capture volatility

Translation: This trader basically got PAID $63K to bet on the FDA catalyst - that's next-level options strategy! They're long through the catalyst but hedged every which way! 🧠

---

🎯 What The Smart Money Knows

The Setup They're Playing:

Current Price: $62.04
November Target: $65+ (their call strike)
Protected Range: $45-$70 (put/call sales)
Net Credit: $63K (got paid to take position!)
Key Catalyst: FDA meeting by August 31!

Why NOW? Potential Catalysts:

1. 🏥 FDA End-of-Phase 2 Meeting THIS MONTH
2. FDA must meet within 70 days of request
3. Submitted June 2025 = meeting by August 31

4. Will determine Phase 3 trial design for CD388

5. 💉 CD388 Blockbuster Data

6. 76.1% protection against flu at 450mg dose
7. Universal protection against ALL flu strains

8. Once-per-season dosing vs daily alternatives

9. 💰 $517M War Chest

10. Raised $402.5M in June offering
11. Cash runway through Phase 3 and beyond

12. No dilution risk near-term

13. 🚀 Phase 3 Launch Spring 2026

14. Management targeting Southern Hemisphere flu season
15. Breakthrough Therapy Designation possible
16. Multiple shots on goal with oncology pipeline

---

💡 How Different Traders Should Play This

🎰 YOLO Traders

"I want pure FDA upside!" - Play: $65 calls for September - Cost: ~$3.00 per contract - Risk: -100% if FDA disappoints - Reward: +500% if FDA positive - Position Size: 0.5-1% (it's binary!)

🏄 Swing Traders

"I'll play it safer with time" - Play: $60/$70 call spread for November - Cost: ~$3.50 per spread - Why Better: Survives FDA volatility - Position Size: 2-3% of account

💎 Premium Collectors

"I'll sell the IV spike" - Play: Sell $55 puts for September - Collect: $2.00 premium - Risk: Own CDTX at $53 - Win If: Stock stays above $55

👶 Entry Level Investors

"Biotech scares me" - Play: Watch and learn - Study: How FDA catalysts work - Paper Trade: Try the strategy virtually - Better Play: Stick to big pharma

---

⚠️ The Risks (Let's Keep It Real)

What Could Go Wrong: - 📉 FDA Delay: Meeting could be pushed back - 💊 Bad FDA Feedback: Phase 3 requirements too strict - 📊 Biotech Volatility: Can drop 50% on bad news - ⏰ Binary Event: FDA = boom or bust - 🎯 Competition: Other flu treatments in development

---

🎯 The Bottom Line

Real talk: This $1.8M position is textbook biotech catalyst trading: 1. FDA meeting imminent (by August 31) = massive binary catalyst 2. Complex structure shows sophisticated institutional player 3. Net credit means they got PAID to be bullish 4. CD388 data is legitimately impressive (76% efficacy!) 5. Multiple expiries = playing both catalyst and follow-through

This is how pros play biotech catalysts - with hedges and calendar spreads!

📋 Your Action Checklist

✅ If Following: Don't copy exactly - simplify with call spreads
✅ Set Alerts: $65 (call strike), $55 (put strike), $70 (resistance)
✅ Mark Calendar: FDA meeting by August 31!
✅ Watch For: FDA meeting minutes, Phase 3 design news
✅ Risk Management: Biotech = binary, size accordingly

---

📊 Quick Reference Card

Metric	Value	Significance
Ticker	CDTX	Cidara Therapeutics
Strategy	Calendar Collar	Complex catalyst play
Total Flow	$1.8M gross	Institutional size
Net Premium	+$63K credit	Got paid to be long
Key Strike	$65 calls	Bullish target
Spot Price	$62.04	Pre-catalyst level
FDA Catalyst	By August 31	Imminent binary event
Cash Position	$517M	Fully funded
CD388 Efficacy	76.1%	Blockbuster potential
Risk Level	🔥🔥🔥🔥🔥 (5/5)	Binary biotech event

---

🏷️ Tags for This Trade

Time Horizon: #Monthly #Quarterly
Strategy Type: #CalendarSpread #CatalystPlay
Risk Level: #ExtremeRisk
Trader Types: #Advanced #BiotechTrader

---

⚠️ Disclaimer: Biotech catalyst trades are among the riskiest in the market. FDA decisions are binary events that can cause 50%+ moves in either direction. This sophisticated $1.8M position shows institutional hedging, not retail speculation. The complex structure requires advanced options knowledge. Never bet more than you can afford to lose on FDA catalysts. This is education, not financial advice! 🎲