Investors in Direxion Shares ETF Trust – Direxion Daily S&P 500 Bull 3X Shares (SPXL) gained access to new options today, set to expire in December 2027. The availability of these contracts, with 548 days until expiration, presents potential opportunities for investors to earn higher premiums, particularly through the put contract at the $245.00 strike price, which currently has a bid of $46.50.
Selling this put contract would obligate the seller to purchase the shares at $245.00, lowering their effective cost basis to about $198.50, compared to the current share price of $276.50. This strike price represents an approximate 11% discount to the current trading price, with a 72% probability that the contract could expire worthless. If this occurs, the premium would yield an 18.98% return on the cash commitment, equating to a 12.64% annualized return.
The implied volatility for this put option is 56%, while the actual trailing twelve-month volatility is calculated at 37%.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
