WEBS Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: High potential for mean reversion given historical price actions and current implied volatilities favor a bullish spike.




Bearish Case: Elevated implied volatility suggests persistent market uncertainty and risk of further downside in a volatile sector.




Potential Outcomes:
  • Continued Decline (40%): Sustained bearish sentiment in tech.
  • Mean Reversion Rebound (40%): Potential recovery from oversold conditions.
  • Sideways Movement (20%): High volatility but no clear directional catalyst.




Trading Oracle: Consider executing a bullish debit spread using WEBS 01/17/2025 33.00 C & 34.00 C. Leverage peak volatility at near-the-money strikes to capture a mean reversion-based rebound. Short-term outlook (30-45 days) offers high reward-to-risk with controlled downside. Implied volatility edge indicated by elevated surface readings provides a favorable trading setup.



December 28, 2024


Direxion Daily Dow Jones Internet Bear 3X Shares Forecast

WEBS        Direxion Daily Dow Jones Internet Bear 3X Shares











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PEP Forecast + Options Trading Strategies   PEP  Pepsico (0.02)


CG Forecast + Options Trading Strategies   CG  Carlyle (-0.03)


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OGN Forecast + Options Trading Strategies   OGN  Organon (-0.04)



Anticorrelated Assets

Assets that tend to move strongly against WEBS



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ETR Forecast + Options Trading Strategies   ETR  Entergy (-0.76)


ALV Forecast + Options Trading Strategies   ALV  Autoliv (-0.79)


SONY Forecast + Options Trading Strategies   SONY  Sony Group Corporation (-0.83)


ANET Forecast + Options Trading Strategies   ANET  Arista Networks (-0.95)









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