$Direxion Daily MSCI South Korea Bull 3x Shares(KORU)$ Looking at the options flow for the next seven months, a few things stand out. The implied volatility above 200 is signaling extremely high volatility. The max pain levels for most months point to upward moves. The only exception is December, where the max pain sits below the current price, but with a put/call ratio of .38, that looks more like bullish hedging.
For this week and next, the options are pricing in a potential 25% to 35% move higher. Next week's put/call ratio of .34 is particularly interesting, as it likely covers a lot of the Mag 7 and hyperscaler earnings reports this month.
The main downside is the high option premiums due to the elevated IV, and the wide bid/ask spreads. Otherwise, the $18 to $20 calls for next week would have been more attractive.
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