How are ELIL butterfly max profit and max loss calculated?

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the ELIL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 73.50%), the computed maximum profit is $142.49 per contract and the computed maximum loss is -$57.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a ELIL butterfly?

The breakeven for the ELIL butterfly priced on this page is roughly $30.58 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 ELIL market-implied 1-standard-deviation expected move is approximately 21.07%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current ELIL implied volatility affect this butterfly?

ELIL ATM IV is at 73.50% with IV rank near 37.49%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.

ELIL Butterfly Strategy

ELIL (Direxion Daily LLY Bull 2X ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on NASDAQ.

The Direxion Daily LLY Bull 2X ETF is engineered to deliver daily investment results that are twice (200%) the performance of Eli Lilly and Company's (LLY) common shares. Conversely, the Direxion Daily LLY Bear 1X ETF endeavors to provide daily returns equal to the inverse (opposite) of LLY's share performance, at a 100% ratio. Both ETFs pursue these objectives before factoring in any fees or operational expenses.

ELIL (Direxion Daily LLY Bull 2X ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $34.1M, a beta of 0.50 versus the broader market, a 52-week range of 11.496-34.28, average daily share volume of 116K, a public-listing history dating back to 2025. These structural characteristics shape how ELIL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 0.50 indicates ELIL has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure. ELIL pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on ELIL?

A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration.

Current ELIL snapshot

As of June 30, 2026, spot at $31.52, ATM IV 73.50%, IV rank 37.49%, expected move 21.07%. The butterfly on ELIL 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 17-day expiry.

Why this butterfly structure on ELIL specifically: ELIL IV at 73.50% is mid-range versus its 1-year history, so strategy selection should anchor more to the directional thesis than to the IV regime, with a market-implied 1-standard-deviation move of approximately 21.07% (roughly $6.64 on the underlying). The 17-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated ELIL expiries trade a higher absolute premium for lower per-day decay. Position sizing on ELIL should anchor to the underlying notional of $31.52 per share and to the trader's directional view on ELIL etf.

ELIL butterfly setup

The ELIL butterfly below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With ELIL near $31.52, the first option leg uses a $30.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed ELIL chain at a 17-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 ELIL shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$30.00	$2.90
Sell 2	Call	$32.00	$1.90
Buy 1	Call	$33.00	$1.48

ELIL butterfly risk and reward

Net Premium / Debit: -$57.50
Max Profit (per contract): $142.49
Max Loss (per contract): -$57.50
Breakeven(s): $30.58
Risk / Reward Ratio: 2.478

Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit.

ELIL butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on ELIL. 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	-100.0%	-$57.50
$6.98	-77.9%	-$57.50
$13.95	-55.8%	-$57.50
$20.91	-33.6%	-$57.50
$27.88	-11.5%	-$57.50
$34.85	+10.6%	+$42.50
$41.82	+32.7%	+$42.50
$48.79	+54.8%	+$42.50
$55.76	+76.9%	+$42.50
$62.72	+99.0%	+$42.50

When traders use butterfly on ELIL

Butterflies on ELIL are pinning bets - traders use them when they expect ELIL to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.

ELIL thesis for this butterfly

The market-implied 1-standard-deviation range for ELIL extends from approximately $24.88 on the downside to $38.16 on the upside. A ELIL long call butterfly is a pinning play: it pays maximum at the middle strike if ELIL settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current ELIL IV rank near 37.49% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on ELIL should anchor more to the directional view and the expected-move geometry. As a Financial Services name, ELIL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to ELIL-specific events.

ELIL butterfly positions are structurally neutral / pin (limited-risk, limited-reward); 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. ELIL positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move ELIL alongside the broader basket even when ELIL-specific fundamentals are unchanged. Always rebuild the position from current ELIL chain quotes before placing a trade.

Frequently asked questions

What is a butterfly on ELIL?: A butterfly on ELIL is the butterfly strategy applied to ELIL (etf). The strategy is structurally neutral / pin (limited-risk, limited-reward): A long call butterfly buys one lower-strike call, sells two ATM calls, and buys one higher-strike call, paying a small net debit for a defined-risk position that maxes out if the underlying pins the middle strike at expiration. With ELIL etf trading near $31.52, the strikes shown on this page are snapped to the nearest listed ELIL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are ELIL butterfly max profit and max loss calculated?: Max profit equals the wing width minus net debit times 100 (reached when the underlying pins the middle strike); max loss equals the net debit times 100. Two breakevens at lower-wing plus debit and upper-wing minus debit. For the ELIL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 73.50%), the computed maximum profit is $142.49 per contract and the computed maximum loss is -$57.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a ELIL butterfly?: The breakeven for the ELIL butterfly priced on this page is roughly $30.58 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 ELIL market-implied 1-standard-deviation expected move is approximately 21.07%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on ELIL?: Butterflies on ELIL are pinning bets - traders use them when they expect ELIL to settle near a specific level at expiration (often the prior close, a round number, or the max-pain strike) and want defined-risk exposure to that outcome.
How does current ELIL implied volatility affect this butterfly?: ELIL ATM IV is at 73.50% with IV rank near 37.49%, which is mid-range against its 1-year history. Strategy selection depends more on directional thesis and expected move than on a strong IV signal.