Defiance Daily Target 2X Long HOOD ETF (HOOX) Falls -45.7% in the Past 30 Days

Key Takeaways

• HOOX declined roughly 45.7% over the last 30 days, falling from a $34.71 close on October 13 to about $18.85, a drawdown driven primarily by weakness in its underlying holding, Robinhood Markets (HOOD).
• HOOX is a leveraged exchange-traded fund that seeks two times (200%) the daily return of HOOD, which amplifies both gains and losses versus the underlying stock.
• The slide followed Robinhood's fiscal Q3 2026 results, which showed record revenue but slowing growth, a 55% drop in crypto revenue, and a series of analyst price-target cuts.
• A broad sell-off in Bitcoin and crypto-linked fintech stocks in early November, alongside a post-midterm shift in Washington sentiment, compounded the decline.
• Over the trailing quarter, the fund surged toward $46 in early September before giving back those gains and finishing the period down about 34%.
• For more detailed data on this ticker, explore its Price Targets, Earnings, and Forecast pages on Tickeron.

Understanding the Defiance Daily Target 2X Long HOOD ETF (HOOX)

HOOX is the Defiance Daily Target 2X Long HOOD ETF, a leveraged fund that seeks daily investment results of two times (200%) the daily percentage change in the share price of Robinhood Markets, Inc. (HOOD), before fees and expenses. The fund, which launched in March 2025 and is issued by Defiance under the Tidal Trust II umbrella, gains its exposure primarily through total return swaps on Robinhood shares rather than by holding the stock directly.

Because Robinhood operates a commission-free trading platform spanning equities, options, cryptocurrencies, and margin, HOOX functions as a high-beta vehicle for investors expressing short-term views on retail trading activity and the broader crypto economy. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry. Investors follow the fund closely because its 2x daily objective means a single-day move in HOOD is magnified, and because the daily reset mechanism can cause returns to diverge from simple 2x results over longer holding periods.

HOOX Price Performance Over the Last 30 Days and Quarter

Over the last 30 days, HOOX fell approximately 45.7%, declining from a closing price of $34.71 on October 13 to about $18.85. The move reflects the leveraged fund's sensitivity to a sustained pullback in HOOD, which itself fell sharply during the period amid softer-than-expected earnings and a crypto-driven sell-off.

The quarterly picture is more volatile than the single-month figure suggests. From roughly $26 in early August, HOOX rallied to a peak near $46 on September 3 before entering a prolonged decline. By mid-November, the fund had given back the entire rally and more, ending the trailing quarter down about 34%. The pattern underscores how quickly the fund's 2x leverage can reverse direction when the underlying stock turns lower.

Factors Behind the Recent 30-Day Decline in HOOX

The dominant catalyst was Robinhood's fiscal Q3 2026 report, released October 27. The company posted record revenue of $1.42 billion, up 11.8% year over year, but the figure came in below the roughly $1.45 billion consensus, and the year-over-year growth rate slowed from 32.3% in the prior quarter. Cryptocurrency revenue fell 55% to $120 million, and net income declined year over year even as adjusted EPS of $0.60 beat expectations. Shares dropped in the sessions following the report.

Analyst revisions added pressure. Wells Fargo, Truist, Needham, and Scotiabank lowered their price targets on HOOD in response to the results, citing lower take rates and weaker trading volumes, while StoneX retained a Buy rating. Separately, Ohio ordered Robinhood to halt new sports event contracts in the state, an incremental regulatory overhang.

The decline deepened in early November, when a slide in Bitcoin and a post-midterm political shift in Washington weighed on crypto-linked financial stocks broadly. Robinhood fell 10.3% on November 5, more than double the S&P 500's decline that session, and HOOX, with its 2x daily objective, magnified the move. Because the fund resets its leverage daily, compounding across these down days pushed its cumulative loss well beyond twice HOOD's decline.

Performance Drivers Across the Full Quarter

The quarter began with strong momentum, as HOOX climbed from the mid-$20s into the mid-$40s through late August and early September. That advance reflected optimism around Robinhood's growing options, equities, and event-contract businesses, record net deposits, and the launch of the Robinhood Chain blockchain network in July.

Sentiment shifted after the Q3 report, when decelerating revenue growth and the sharp drop in crypto trading income reset expectations. A steady grind lower through October accelerated in November as crypto markets sold off and fintech valuations compressed. For a leveraged product tied to a trading platform, the combination of softer transaction trends and falling risk appetite across digital assets proved a powerful headwind, leaving the fund near the low end of its three-month range.

What Could Shape HOOX Going Forward

Several factors are likely to shape HOOX in the coming months. Robinhood's fiscal Q4 2026 results, expected in February 2027, will be closely watched, particularly year-over-year revenue growth, crypto trading activity, and average daily trading volumes across equities, options, and crypto. The trajectory of Bitcoin and the broader digital-asset market remains a key swing factor, given the company's meaningful crypto revenue contribution.

Investors should also monitor net deposit trends, Robinhood Gold subscriber growth, event-contract expansion, and any further regulatory developments, including the status of sports event contracts in Ohio. Because HOOX is a daily 2x leveraged fund, it is intended for short-term trading rather than long-term buy-and-hold positions, and its performance can diverge materially from HOOD's returns over time due to daily resets and compounding.

Using Tickeron AI Trading Bots for Leveraged ETF Strategies

In my own research process, I frequently review Tickeron’s AI Trading Bots to evaluate automated approaches on volatile names like HOOX. These tools let me test short-term momentum strategies across different timeframes and risk levels, which is especially useful for leveraged products where daily resets matter. The selection of top-performing bots helps narrow down ideas that match specific trading objectives without requiring constant manual monitoring.

Disclaimer

The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.

Disclaimers and Limitations

Contributor

Harry Richardson|Expert

Harry Richardson — Algorithmic Trader & Strategy Developer Harry is an algorithmic trader specializing in impulse and breakout trading strategies across cryptocurrency and equity markets. With more than 10 years of experience in developing automated trading systems, he focuses on building structured algorithms designed to capture momentum while maintaining strict risk control. His approach combines quantitative analysis, real-market execution, and continuous performance monitoring. Vitalii prioritizes risk management, drawdown control, and strategy stability over short-term optimization, ensuring algorithms are adaptable to changing market conditions. He has developed and tested hundreds of automated strategies, working extensively with live trading environments, forward testing, and portfolio-level algorithm management. His work centers on transforming trading ideas into fully operational, scalable automated systems.

Industry description