Bigworld, Yes, as you said, to get the lowest premium on the LEAP Puts you need to buy when the market is strengthening. The downside is that you don't have the benefit of using TA/chart signals, and are therefore making a call mainly based on 'macro' factors.
The higher risk on the one hand is balanced by the lower risk of having 2 year's worth of time on your side plus the large leverage you get with the LEAP.
Should be interesting. The market has to drop significantly at some point, though with the leverage of the LEAPS you might be able to snag a nice profit even if the drop is just a mere correction and not a crash.
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