Bullish Nvidia Trade Soars as Day Traders Bet on Leveraged ETFs

The latest Nvidia Corp. frenzy is fueling an unprecedented rally in the booming industry of leveraged-up ETFs as retail traders go all-in on the world’s “most important stock.”

A GraniteShares fund, which gives investors two times the daily return of the Jensen Huang-run company, is now up 450% over the past year, with a record $4.7 billion in trading volume last week. The $2.8 billion GraniteShares 2x Long NVDA Daily ETF (ticker NVDL) launched in December 2022.

Nvidia, the posterchild of the artificial intelligence craze, is fueling the bull market to multiple records with the now $2.8 trillion chipmaker posting a fresh blockbuster earnings report as bullish call options boom. On the flipside, bears have got crushed with the GraniteShares 2x Short NVDA Daily ETF (NVD), which tracks the daily inverse return of the underlying stock, down 86% this year alone.

leveraged NVIDIA

With speculative euphoria running wild in markets, the creator behind the amped-up products is prepping an avalanche of new options-fueled strategies tracking everything from gold and Big Tech to Bitcoin.

Put another way, Nvidia is increasingly the new Tesla Inc. as tech-bullish retail traders pounce on new ETF strategies.