SPY has a long-term target of 800; it has room to fall and may bounce near the middle of its channel, but the speaker sees a good chance it keeps climbing to 800. He buys a December 2027 call because implied volatility rank 16 makes the premium cheap; the trade profits if SPY breaks above 800.

Therefore, I am currently thinking of a long-term target for the S&P 500 index to reach the 800 level on the chart. As you can see, we have room to fall, and if we reach the middle of this channel, we may bounce back.

But ultimately, I think we have a good chance of continuing to climb this line until we reach 800.

I'm looking at a "Lip" contract on the thread indicator. The contract expires on September 17, which is less than a year. I want to skip the year and move to the contract expiry date of December 17, 2027.

Now I'm looking at a buy option here because I think the correlation indicators could continue to rise towards 800.

Almost all of them are 0.5 or 0.6. Yes, it is very high. I mean, it's good. Yes, correct? I have never seen anything like it before. It's high, and now if we're paying for a higher delta, fine.

Well, now as we look at the trend lines, we believe that if the "spider" movement breaks above the 800 level, we will have made a profit. Our delta value is still very strong at 0.551.

In this execution contract at 800, if we buy this contract, the price difference will currently be about 30 cents between the bid price and the ask price.

Implied volatility rank 16. Therefore, the pullback is cheaper over the last 52 weeks, and the percentage is 34 on our implied volatility. Therefore, our bonuses are relatively low at the moment.

Therefore, we will buy a call option contract with a delta of 0.551. This contract will cost approximately $5800.

The deal is to buy a call option on Spiders stock for December 2027. The price of this option is $800, and the implied volatility rank is 16, which means the premium is cheap. We talked about that earlier this week.

The delta is at 0.5, which is amazing. This option falls within the range where we prefer Delta. The time period is 420 days, so the timing is right for us, and this allows our class to be impactful as well.