The Direxion Daily Regional Banks Bull 3X Shares (DPST) is a leveraged exchange-traded fund (ETF) that seeks daily investment results, before fees and expenses, equal to 300% of the performance of the S&P Regional Banks Select Industry Index. Launched in 2015, the fund uses swaps and other financial instruments to achieve its 3x daily target rather than simply holding three times the underlying stocks.
The benchmark is a modified equal-weighted index drawn from the S&P Total Market Index, covering U.S. companies classified in the regional banks sub-industry under the Global Industry Classification Standard (GICS). This structure means the fund provides broad, single-sector exposure across roughly 180 regional banking names rather than concentrating in the largest money-center banks. Sector exposure is effectively 100% financials/regional banks.
Because the index is modified equal-weighted, no single holding dominates. Representative constituents include Citizens Financial Group (CFG), Truist Financial (TFC), M&T Bank (MTB), East West Bancorp (EWBC), Popular (BPOP), Zions Bancorporation (ZION), and Cadence Bank (CADE), each carrying a small individual weight. The fund is non-diversified and carries a net expense ratio of approximately 0.92%. This leveraged, daily-reset design is central to understanding its recent volatility: a roughly 5%–6% decline in the underlying index over a month can translate into a materially larger loss for the fund.
Over the trailing 30 days, DPST fell from an adjusted closing price of about $134.52 to roughly $111.06, a decline of approximately 17%. Over the trailing quarter, the decline was larger, with the fund moving from about $140.78 to roughly $111.06, a drop of approximately 21% on a price basis.
Both periods reflected a predominantly downward trend rather than a sharp single-day shock. The movement was punctuated by bouts of elevated volatility characteristic of leveraged instruments, but the overall direction was a steady grind lower as regional bank shares faced sustained pressure. Because the fund rebalances its 3x exposure daily, compounding effects can cause multi-period returns to diverge from a simple three-times multiple of the index's return, particularly during choppy markets.
The decline in DPST over the past month largely mirrored weakness across U.S. regional banking stocks, amplified by the fund's leverage. Regional banks are highly sensitive to the interest-rate environment because their profitability depends heavily on net interest margin (NIM) — the spread between what they earn on loans and what they pay on deposits.
Several forces have pressured the group. Expectations around the Federal Reserve's policy path influence both short-term funding costs and the shape of the yield curve, directly affecting bank profitability. Concerns over commercial real estate (CRE) exposure, particularly office properties, have kept a spotlight on credit quality and loan-loss provisioning. Deposit competition has also remained a factor, as banks pay more to retain funding.
Given the fund's equal-weighted structure, weakness was broadly distributed rather than driven by any single holding. Names spanning regional lenders, including Citizens Financial Group, M&T Bank, and Zions Bancorporation, moved lower in tandem with the sector. Because DPST amplifies these moves, sector-wide declines translated into a pronounced drop in the fund's price.
The quarterly decline reflects a longer-running rotation away from rate-sensitive and credit-sensitive segments of the market. Regional banks entered the period already contending with the same structural themes that weighed on them during the past month: the trajectory of interest rates, the persistence of higher deposit costs, and ongoing scrutiny of loan portfolios, especially in commercial real estate.
Over a three-month horizon, sector-level capital flows and institutional positioning played a meaningful role. Investors have continued to evaluate the earnings power of regional lenders against a backdrop of uncertain monetary policy. The fund's daily reset feature also contributed to the gap between the roughly 21% price decline and what a simple three-times monthly move in the index would imply, as leveraged products tend to experience performance drag during periods of back-and-forth price action.
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The most important factors for investors to monitor are those that drive regional bank profitability and, by extension, DPST's underlying index. Interest-rate expectations and the shape of the yield curve will remain central, since both influence net interest margins and the relative attractiveness of bank deposits versus other income-generating assets. Inflation data and the Federal Reserve's policy communications will therefore be closely watched.
Credit quality is another key theme, particularly the performance of commercial real estate loans and any signs of rising delinquencies or provisioning. Loan growth, deposit costs, and the pace of mergers and acquisitions (M&A) within the banking industry also have the potential to reshape the sector. Regulatory developments, including capital requirements, could affect profitability and strategic decisions across regional lenders.
Finally, investors should remain mindful of the structural risks specific to leveraged, daily-reset products. DPST is intended for short-term tactical exposure, and holding periods longer than a single day can produce returns that differ substantially from three times the underlying index. Volatility, compounding effects, and fund-level flows are all factors worth watching alongside the fundamental outlook for regional banks.
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DPST saw its Momentum Indicator move below the 0 level on September 16, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 87 similar instances where the indicator turned negative. In 81 of the 87 cases, the stock moved further down in the following days. The odds of a decline are at 90%.
The 10-day moving average for DPST crossed bearishly below the 50-day moving average on August 27, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 16 of 17 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 90%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where DPST declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 90%.
The Aroon Indicator for DPST entered a downward trend on September 29, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where DPST's RSI Indicator exited the oversold zone, 30 of 30 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 90%.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 9 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a +4.49% 3-day Advance, the price is estimated to grow further. Considering data from situations where DPST advanced for three days, in 270 of 292 cases, the price rose further within the following month. The odds of a continued upward trend are 90%.
DPST may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Category Trading