The notional exposure of the world’s 50 largest leveraged ETFs has fallen by approximately $100 billion since the June peak, dropping from $500 billion to nearly $417 billion.

To put this in perspective, the total long positioning by non-dealers in S&P futures amounts to $267 billion.

The recent unwinding of these ETFs exceeds a significant portion of the entire market's directional positioning.

Leveraged ETFs represent fast, reactive capital.

When this exposure shrinks by $100 billion in just a few weeks, it signals that the most speculative players have begun to reduce risk.