u/Acceptable-Worry-308 ·
Reddit — r/options
· May 24, 2026 at 06:46
· ⬆ 10 pts
· 💬 7 comments
| View on Reddit ↗
AI Summary
Summary
Main theme: LEAPs on 3X leveraged ETFs (specifically TQQQ) are extremely risky outside of parabolic rallies.
Dominant sentiment: Cautious and skeptical; the community sees high volatility decay as a major headwind.
Key discussion: One highly upvoted comment outlines a conditional opportunity — buying LEAPs after a massive selloff and a volatility-crushing catalyst (e.g., Zweig Breadth Thrust).
Notable consensus: The only commenter agrees that this is a “cool way to set money on fire” in most market conditions; no dissenting views in the thread.
Score10
Comments7
▶ Full Post Text
[+6] u/BagelsRTheHoleTruth: The only time I think this would be an advisable strategy is right before a parabolic run like we've just seen on TQQQ. You really need the market going up day after day by leaps and bounds to outrun volatility decay. Any chop is going to really hurt, and a big down day will crush you.
If there's a massive sell off, and then a positive catalyst marking a vol crush bottom, or a Zweig Breadth Thrust event or something, you might try this. Otherwise, probably just a cool way to set money on fire.
The community observes that 3X LETF LEAPs require sustained daily gains to overcome volatility decay; chop or drawdowns are destructive. A major selloff followed by a definitive bullish catalyst (vol crush, Zweig Breadth Thrust) can create a regime where daily up-moves are large enough to make LEAPs profitable. A highly speculative, event‑driven long on TQQQ LEAPs is only viable after a deep correction and a strong reversal signal — otherwise the strategy is likely to lose money. Any sideways or choppy price action decays the position; a single large down day can wipe out gains; the strategy is not recommended for normal bull markets.
This Reddit post, published May 24, 2026,
features r/options community
discussing TQQQ.
1 trade idea extracted by AI with direction and confidence scoring.