Roundhill COST WeeklyPay ETF (COSW) Straddle

Trading a COSW straddle lets you take a pure volatility position on Roundhill COST WeeklyPay ETF without committing to a direction. Roundhill COST WeeklyPay ETF's straddle involves buying (or selling) a call and a put at the same strike and expiration, profiting when the stock moves more (or less) than the combined premium implies. Use our scanner to evaluate COSW straddle pricing in real time and find the moments when expected moves are mispriced.

A long straddle on COSW profits from large moves in either direction and is a classic play into binary events like earnings, product announcements, or macro releases. A short straddle profits when Roundhill COST WeeklyPay ETF stays range-bound and implied volatility contracts. The breakeven points are simple: strike plus total premium on the upside, strike minus total premium on the downside. Comparing the COSW straddle price to historical realized moves helps you judge whether the market is overpaying or underpaying for volatility.

COSW aims to combine weekly income and modest enhanced exposure to the weekly price performance of COST stock. The fund invests in total return swap agreements and COST common stock that in aggregate will return approximately 120% of the calendar week return of COST shares. Aside from providing 1.2x leveraged single-stock exposure, the fund will make weekly distribution payments to shareholders. It also invests in short-term US Treasurys and money market funds for collateral. Unlike traditional ETFs, COSW introduces added volatility due to its lack of diversification and use of leverage. Investors should note that an investment in the fund is not an investment in the underlying stock.

The strategy is subject to all potential losses if COST shares depreciate. The fund may lose all of its value if COST's share price decreases by 83.33% over the course of a week. The fund is a short-term tactical tool, meaning it is designed for investors with a high-risk tolerance and a short-term outlook.

Earnings, product cycles, macro prints — any time volatility itself is the trade, the COSW straddle is the cleanest expression of that view. Our scanner prices every COSW straddle against historical realized moves, flags expirations where the market is overpaying or underpaying for vol, and ranks setups by breakeven width and IV rank. Whether you're long a COSW straddle into a catalyst or short a COSW straddle to harvest decay, the options straddle setups that matter are all in one place.