I often see posts on the various forums about folks chasing extreme IV to write Covered Calls.
This is often not a very good idea. Why? Well despite being able to collect huge premiums, there is a huge amount of risk.
Check out this one:
It's Nuvelo Inc (NUVO) and this was a disaster for those chasing big premium.
Sometimes I'll have a go at these and play the IV crush when the announcement comes out, BUT with limited risk strategies.
CC's are Russian Roulette in this circumstance... trying to snatch a bone from a pit bull. A bad idea.