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Can You Play Both Sides of Volatility With New Direxion Single Stock Leveraged & Inverse ETFs?

By Kyle Anthony, Benzinga 

Direxion recently launched four new single-stock daily leveraged and inverse ETF offerings that provide investors with exposure to two distinct companies, namely Shopify Inc. and Lockheed Martin Corporation Each company has a different business focus, and risk-hungry traders can use Direxion’s Single Stock Leveraged & Inverse ETFs to gain tactical exposure to each and potentially benefit from their directional movements in either direction.

Gaining Comprehensive Exposure To Shopify And Lockheed Martin With Direxion

For short-term traders looking to gain leveraged or inverse exposure to Shopify, the Direxion Daily SHOP Bull 2X ETF (NASDAQ: SHPU) and Direxion Daily SHOP Bear 1X ETF (NASDAQ: SHPD) offer enhanced, pure-play exposure for both bulls and bears. Similarly, risk traders interested in gaining holistic exposure to Lockheed Martin can utilize the Direxion Daily LMT Bull 2X ETF (NASDAQ: LMTL) and Direxion Daily LMT Bear 1X ETF (NASDAQ: LMTS).

These Single Stock Leveraged & Inverse ETFs are designed to emulate the daily performance of the company's common shares, enabling tactical traders to gain exposure to the index’s movements with returns of 200% on its rise for the bull fund or 100% of the inverse for the bear fund. It is important to note that these solutions are intended to take advantage of short-term trends and should not be held for more than a day.

Whether bullish or bearish on the respective companies, these ETFs can help traders easily engage with the firm’s growth patterns. However, it's crucial to approach these leveraged products with a clear understanding of their risks. While the amplified exposure can translate to significant gains, it can also lead to substantial losses. These ETFs are best suited for those who can actively manage the inherent risks of leverage and are looking to capitalize on short-term trends occurring with the stocks. Be sure to conduct thorough research before you answer the siren call of magnified profits!

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This post contains sponsored content. This content is for informational purposes only and is not intended to be investing advice.

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