These are some real lessons that I have learnt the hard way.
u/TheBoxerBySandG ·
Reddit — r/options
· August 10, 2026 at 20:53
· 💬 17 comments
| View on Reddit ↗
AI Summary
Summary
Community lesson: OTM options can be profitable if expiration is far out enough to allow time for both price and IV expansion.
One specific trade cited: buying SPY 820 calls for October, which doubled in two days as IV rose from ~11.5 to ~13 vol.
Sentiment is mildly bullish on SPY as a tactical long via long-dated OTM calls.
No earnings discussed; no major disagreements in the thread.
Comments17
▶ Full Post Text
[+5] u/iron_condor34: You can dabble in OTM options if you're expiration is decently far out. I just did it buying SPY 820 calls for october. They more than doubled in two days and the IV had gone up. I think I got them for \~11.5 vol. They were almost a 13 vol when I sold them.
A commenter bought SPY 820 calls with October expiration, roughly OTM at entry, and sold after they more than doubled in two days. This supports the idea that OTM calls with adequate time premium can benefit from both directional moves and rising implied volatility. Tactical long SPY exposure via far-dated OTM calls, with a plan to sell into IV expansion rather than hold to expiration. No counter-arguments in the thread; however, OTM calls can decay quickly if SPY stalls, and IV contraction can erase gains even if the stock moves favorably.
This Reddit post, published August 10, 2026,
features r/options community
discussing SPY.
1 trade idea extracted by AI with direction and confidence scoring.