neither google nor its parent company alphabet inc is affiliated with direxion shares etf trust its investment adviser or any affiliates and is not involved with the funds in any way investing in the funds is not equivalent to investing in googl googles parent company alphabet inc googl goog class c shares appears to be in big trouble yeartodate share price of alphabet inc referred to throughout this article as google is down over 40 yeartodate as of 11322 having missed consensus analyst earningspershare eps estimates now for three consecutive quarters despite a brief rally in late july after a 20for1 stock split the outlook has turned bearish as the onceleading tech giant now trails the performance of the sp 500® index on october 26 the stock tanked as google reported a miss on its thirdquarter revenue due to lowerthanexpected advertising sales this latest bearish development comes after numerous efforts by the company to stimulate growth measures undertaken throughout 2022 include the acquisition of cybersecurity firm mandiant for 54 million and a stock buyback of 1519 billion the time between today and googles next quarterly earnings report will be a critical period for the company for bullish and bearish traders alike we believe there may be ample trading opportunities heres how traders can speculate or seek to hedge on googles outlook with direxions new single stock etfs – the direxion daily googl bull 15x shares ggll and direxion daily googl bear 1x shares ggls investing in the funds involves a high degree of risk unlike traditional etfs or even other leveraged andor inverse etfs these leveraged andor inverse singlestock etfs track the price of a single stock rather than an index eliminating the benefits of diversification leveraged and inverse etfs pursue daily leveraged investment objectives which means they are riskier than alternatives which do not use leverage they seek daily goals and should not be expected to track the underlying stock’s performance over periods longer than one day they are not suitable for all investors and should be utilized only by investors who understand leverage risk and who actively manage their investments the funds will lose money if the underlying stock’s performance is flat and it is possible that the bull fund will lose money even if the underlying stock’s performance increases and the bear fund will lose money even if the underlying stock’s performance decreases over a period longer than a single day an investor could lose the full principal value of his or her investment in a single day traders can speculate on googles shortterm share price movements by either focusing on fundamentals or the broader market environment for fundamentals traders can take positions based on their predictions for googles future revenues particularly as it pertains to advertising and cloud sales both segments have slowed down markedly in terms of growth over the last year due to inflationary and recessionary pressures with cloud becoming one of googles main revenue drivers a surprise there may spark strong price action for the broader market environment traders can focus on the continued strength of the us dollar and upcoming us federal reserve decisions recent surges in the strength of the us dollar have unfavorably impacted revenue growth rates for googles international sales segments a continued increase here may hurt eps further as it devalues revenues from international clientele another catalyst could be the next federal open market committee fomc meeting on december 13 – 14 previously chairman jerome powell delivered the fourth consecutive 75basis point hike but hinted that a pivot might be ahead in 2023 depending on the state of the economy given googles higher beta of 110 and prominence as the top holding by weight in many equity indices a broad market selloff caused by an unexpectedly hawkish fed decision could create further shortterm losses in the companys share price case in point the uncertainty from powells mixed message on november 2 caused googles share price to slide 387 what to use to trade google traditionally traders looking for enhanced leveraged or inverse exposure to google had to make do with options or margin both approaches expose a trader to different sources of risk that may be undesirable for options traders must correctly predict the direction that googles stock moves time the expiry date of their options correctly and also account for changes in volatility it is completely possible for a novice trader to buy puts in anticipation of googles price falling yet lose money even if the stock drops in this case paying too much for the put options premium can cause losses once implied volatility dies down after the event an effect called volatility crush a trader can also see their option decay in value quickly as the expiry date approaches due to theta nullifying any gains they could have made portfolio margin is an alternative to options but this approach opens an investor up to the risk of margin calls or unlimited risk if they sell the stock short with margin or shortselling a trader could potentially be on the hook for more than their original investment a strategy to consider here is to use a leveraged or inverse etf that provides amplified or inverse exposure to shares of the common shares of alphabet inc class a googl the direxion daily googl bull 15x shares ggll and direxion daily googl bear 1x shares ggls can be considered as alternatives to options or margin ggll seeks daily investment results before fees and expenses of 150 of the daily performance of googl while ggls seeks daily investment results before fees and expenses of 100 of the inverse or opposite of the daily performance of googl both etfs do not invest directly in google rather they invest in derivatives including swap contracts to obtain daily leveraged or inverse exposure traders must understand that that the leverage target is daily and the funds should not be expected to achieve their investment objective for a period of time different than a trading day unlike options a trader who buys ggll or ggls does not have to account for changes in implied volatility or theta affecting the value of their investment with ggll or ggls a trader can focus on predicting the right direction for the stocks future movements unlike margin a trader who buys ggll or ggls has their risk capped at the price they paid for the etf’s shares there is no chance of a margin call if the value of the investment falls or of being forced to cover a short position that has gone up significantly in value as with all leveraged or inverse etfs ggll and ggls can be a powerful way to achieve shortterm exposure but only if traders do their due diligence on googles shortterm outlook have a strong investment thesis possess a highrisk tolerance and actively monitor their investments this post contains sponsored advertising content this content is for informational purposes only and is not intended to be investing advice this post contains sponsored advertising content this content is for informational purposes only and is not intended to be investing advice  earnings per share eps is a companys net profit divided by the number of common shares it has outstanding eps indicates how much money a company makes for each share of its stock and is a widely used metric for estimating corporate value  option is a contract which conveys to its owner the holder the right but not the obligation to buy or sell a specific quantity of an underlying asset or instrument at a specified strike price on or before a specified date depending on the style of the option  a put option or “put” is a contract giving the option buyer the right but not the obligation to sell a specified amount of an underlying security at a predetermined price within a specified time frame direxion does not offer or endorse options trading  margin is the collateral that a holder of a financial instrument has to deposit with a counterparty to cover some or all of the credit risk the holder poses for the counterparty  sp 500® index standard  poor’s ® selects the stocks comprising the sp 500 ® index on the basis of market capitalization financial viability of the company and the public float liquidity and price of a company’s shares outstanding the index is a floatadjusted market capitalizationweighted index one cannot directly invest in an index an investor should carefully consider a fund’s investment objective risks charges and expenses before investing a fund’s prospectus and summary prospectus contain this and other information about the direxion shares to obtain a fund’s prospectus and summary prospectus call 8664767523 or visit our website at wwwdirexioncom a fund’s prospectus and summary prospectus should be read carefully before investing technology sector risk – the market prices of technologyrelated securities tend to exhibit a greater degree of market risk and sharp price fluctuations than other types of securities these securities may fall in and out of favor with investors rapidly which may cause sudden selling and dramatically lower market prices technology securities may be affected by intense competition obsolescence of existing technology general economic conditions and government regulation and may have limited product lines markets financial resources or personnel alphabet inc class a investing risk – as of the date of this prospectus in addition to the risks associated with companies in the information technology sector alphabet inc’s class a shares face risks associated with reliance on advertising revenue and the effect that loss of partners or new and existing technologies that block advertisements online may have on its business intense competition for its products and services across different industries investments in new businesses products services and technologies that may divert management attention or harm its financial condition or operating results slowdowns in its revenue growth rate the ability to protect its intellectual property rights the ability to maintain or enhance its brands and its impact on the ability to expand its user base advertisers customers content providers and other partners manufacturing and supply chain issues interruptions to or interferences with its complex information technology and communication systems its international operations failure to evolve with the advancement of technology and user preferences data privacy and security concerns regulatory and legal and litigation issues direxion shares risks – an investment in each fund involves risk including the possible loss of principal each fund is nondiversified and includes risks associated with a fund concentrating its investments in a particular security industry sector or geographic region which can result in increased volatility a funds investments in derivatives such as futures contracts and swaps may pose risks in addition to and greater than those associated with directly investing in securities or other investments including imperfect correlations with underlying investments or the funds other portfolio holdings higher price volatility and lack of availability as a result the value of an investment in a fund may change quickly and without warning risks of the funds include effects of compounding and market volatility risk leverage risk derivatives risk counterparty risk rebalancing risk intraday investment risk daily correlationtracking risk alphabet inc class a investing risk single security risk market risk indirect investment risk trading halt risk and risks specific to the technology sector additional risks include for the direxion daily googl bear 1x shares risks related to shorting and cash transactions please see the summary and full prospectuses for a more complete description of these and other risks of the funds