How are SOXS cash-secured put max profit and max loss calculated?

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the SOXS cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 181.33%), the computed maximum profit is $53.50 per contract and the computed maximum loss is -$245.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a SOXS cash-secured put?

The breakeven for the SOXS cash-secured put priced on this page is roughly $2.47 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current SOXS market-implied 1-standard-deviation expected move is approximately 51.99%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current SOXS implied volatility affect this cash-secured put?

SOXS ATM IV is at 181.33% with IV rank near 78.42%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.

SOXS Cash-Secured Put Strategy

SOXS (Direxion Daily Semiconductor Bear 3X ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on AMEX.

The Direxion Daily Semiconductor Bear 3X ETF is designed to provide daily returns that are three times the inverse (opposite) of the NYSE Semiconductor Index's performance, prior to the deduction of fees and expenses. It is important to note that the fund does not guarantee it will always achieve these stated daily investment objectives.

SOXS (Direxion Daily Semiconductor Bear 3X ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $134.6M, a beta of -4.62 versus the broader market, a 52-week range of 3.29-169.8, average daily share volume of 370.3M, a public-listing history dating back to 2010. These structural characteristics shape how SOXS etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of -4.62 indicates SOXS has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. SOXS pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a cash-secured put on SOXS?

A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike.

Current SOXS snapshot

As of June 30, 2026, spot at $3.21, ATM IV 181.33%, IV rank 78.42%, expected move 51.99%. The cash-secured put on SOXS below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 31-day expiry.

Why this cash-secured put structure on SOXS specifically: SOXS IV at 181.33% is rich versus its 1-year range, which favors premium-selling structures like a SOXS cash-secured put, with a market-implied 1-standard-deviation move of approximately 51.99% (roughly $1.67 on the underlying). The 31-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated SOXS expiries trade a higher absolute premium for lower per-day decay. Position sizing on SOXS should anchor to the underlying notional of $3.21 per share and to the trader's directional view on SOXS etf.

SOXS cash-secured put setup

The SOXS cash-secured put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With SOXS near $3.21, the first option leg uses a $3.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SOXS chain at a 31-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 SOXS shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Sell 1	Put	$3.00	$0.54

SOXS cash-secured put risk and reward

Net Premium / Debit: +$53.50
Max Profit (per contract): $53.50
Max Loss (per contract): -$245.50
Breakeven(s): $2.47
Risk / Reward Ratio: 0.218

Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium.

SOXS cash-secured put payoff curve

Modeled P&L at expiration across a range of underlying prices for the cash-secured put on SOXS. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.

P&L at expiration across the modeled underlying-price range. Green shading marks profitable regions, red shading marks loss regions. Dotted purple verticals mark breakevens; the solid dark vertical marks current spot.

Underlying Price	% From Spot	P&L at Expiration
$0.01	-99.7%	-$245.50
$0.72	-77.6%	-$174.64
$1.43	-55.5%	-$103.77
$2.14	-33.5%	-$32.91
$2.84	-11.4%	+$37.96
$3.55	+10.7%	+$53.50
$4.26	+32.8%	+$53.50
$4.97	+54.8%	+$53.50
$5.68	+76.9%	+$53.50
$6.39	+99.0%	+$53.50

When traders use cash-secured put on SOXS

Cash-secured puts on SOXS earn premium while a trader waits to acquire SOXS etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SOXS.

SOXS thesis for this cash-secured put

The market-implied 1-standard-deviation range for SOXS extends from approximately $1.54 on the downside to $4.88 on the upside. A SOXS cash-secured put lets a trader earn premium while waiting to acquire SOXS at the strike price; the strategy is most attractive when the trader is comfortable holding the underlying at that level and IV is rich enough to compensate for the assignment risk. Current SOXS IV rank near 78.42% sits in the upper third of its 1-year distribution, which historically reverts; this raises the bar for premium-buying structures and lowers it for premium-selling structures on SOXS at 181.33%. As a Financial Services name, SOXS options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SOXS-specific events.

SOXS cash-secured put positions are structurally neutral to slightly bullish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. SOXS positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SOXS alongside the broader basket even when SOXS-specific fundamentals are unchanged. Short-premium structures like a cash-secured put on SOXS carry tail risk when realized volatility exceeds the implied move; review historical SOXS earnings reactions and macro stress periods before sizing. Always rebuild the position from current SOXS chain quotes before placing a trade.

Frequently asked questions

What is a cash-secured put on SOXS?: A cash-secured put on SOXS is the cash-secured put strategy applied to SOXS (etf). The strategy is structurally neutral to slightly bullish: A cash-secured put sells an out-of-the-money put while holding cash equal to the strike-times-100 obligation, keeping the premium when the underlying stays above the strike. With SOXS etf trading near $3.21, the strikes shown on this page are snapped to the nearest listed SOXS chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are SOXS cash-secured put max profit and max loss calculated?: Max profit equals premium times 100; max loss equals strike minus premium times 100 (at zero, assuming assignment). Breakeven is strike minus premium. For the SOXS cash-secured put priced from the end-of-day chain at a 30-day expiry (ATM IV 181.33%), the computed maximum profit is $53.50 per contract and the computed maximum loss is -$245.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a SOXS cash-secured put?: The breakeven for the SOXS cash-secured put priced on this page is roughly $2.47 at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current SOXS market-implied 1-standard-deviation expected move is approximately 51.99%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a cash-secured put on SOXS?: Cash-secured puts on SOXS earn premium while a trader waits to acquire SOXS etf at a target strike below the current quote; most attractive when IV is rich and the trader is comfortable owning SOXS.
How does current SOXS implied volatility affect this cash-secured put?: SOXS ATM IV is at 181.33% with IV rank near 78.42%, which is elevated relative to its 1-year range. Premium-selling structures (covered call, cash-secured put, iron condor) generally look more attractive when IV rank is high; premium-buying structures (long call, long put, debit spreads) are more expensive in that regime.