Monday’s action stoked increased activity in YANG as the ETF’s volume surged above the daily average as the funded soared nearly 10%, prompting increased options activity in the leveraged ETF.

“Leading the way is the April 150 call, where buy-to-open activity is detected. By purchasing these positions, traders are expressing conviction that YANG will topple the deep out-of-the-money 150 strike by April expiration — putting it on the doorstep of its annual highs from last August,” according to Schaeffer’s Investment Research.

YANG has a bullish equivalent, the Direxion Daily China 3x Bull (NYSEArca: YINN). The ETFs try to reflect triple the bullish or bearish performances of the FTSE China 50 Index on a daily basis. That is the index tracked by the iShares China Large-Cap ETF (NYSEArca: FXI), the largest U.S.-listed China ETF. [Upping the Ante With China ETFs]

“Technically speaking, though, the Direxion Daily China Bears 3x Shares ETF (NYSEARCA:YANG) has outperformed the broader market in recent months, just as it is today. Specifically, the ETF has bested the S&P 500 Index (SPX) by nearly 26 percentage points during the past 40 sessions. As such, some of the bearish bettors may actually be shareholders seeking a downside hedge,” adds Schaeffer’s Investment Research.

Direxion Daily FTSE China Bear 3X Shares