Help needed on opening options trade!
My dilemma and reasoning:
I bought SPY puts a few days ago and today's disastrous market brought my gains up to approximately 150% per contract (I still haven't sold). I'm also long ~2700 BBBY shares due to its <100% SI, strong retail sentiment, and non-correlation with the broader market. On top of that, I plan on selling 27 1/20 BBBY 27C contracts @ 2.47 on Monday. This should leave me with about 6K in premium, bringing my cash total to approximately 44K (37K currently).
I confident that the market will fall further due to the tightening of the economy, but I'm not sure how I can safely profit off of this prediction. Implied volatility has skyrocketed, making puts very expensive, and I'm terrified of IV crushes (previously burned 20K due to this).
TLDR; Any advice on what to bet against/do next would be greatly appreciated :)
Full Positions:
SPY:
9/23 407P x 9 @ 4.49 ~ 10.3K
9/21 375P x 20 @ 1.58 ~ 4.9K
9/14 402P x 5 @ 2.08 ~ 3.3K
BBBY:
2713 Shares @ 10.81 ~ 30K
1/20 27C x 27 @ 2.47 ~ 6.6K (in cash, planned)
Cash:
Current: $37,524
Account total: ~$92,600
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