Yes it is designed to react at 3X the reaction. I’m not trading this thing daily it’s a long term play for me at one point I was worried if it would survive or if it would reverse split but that hasn’t happened yet. So just sitting waitin for the long slow slide back down.
I have a bit in inverse ETFs but am starting to trade them daily because their base resets everyday which changes their returns.
Long atory shoet, the return is not calculated since the day you bought the fund, it resets daily so the inverse ETF can be down even when the underlying fund is down.
It took me a year or so to get a good rhythm with it, but I like to buy them as a small hedge to a larger purchase.