How are LRCU 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 LRCU butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 119.40%), the computed maximum profit is $190.78 per contract and the computed maximum loss is -$100.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a LRCU butterfly?

The breakeven for the LRCU butterfly priced on this page is roughly $55.00 at expiration, derived from the September 29, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The LRCU market-implied 1-standard-deviation expected move in the same options snapshot is approximately 34.23%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current LRCU implied volatility affect this butterfly?

LRCU ATM IV is at 119.40% with IV rank near 32.18%, 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.

LRCU Butterfly Strategy

LRCU (Tradr 2X Long LRCX Daily ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.

LRCU is a short-term tactical tool that aims to deliver twice (200%) the daily performance of Lam Research Corp. (LRCX), before fees and expenses. The fund primarily enters into total return swap agreements with major global financial institutions that mirror LRCXs daily returns. In case swaps are unavailable or less efficient, the fund may use FLEX call options or directly hold LRCX stock. Purchasers holding shares for longer than a day will need to monitor and rebalance their position frequently to attempt to achieve the 2x multiple. Purchasers should conduct their own individual stock research prior to initiating a position and trade with conviction. Due to the complexities of the product, shares tend to perform as anticipated only when the underlying shares are trending and holders are on the positive corresponding side of that trade.

LRCU (Tradr 2X Long LRCX Daily ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $41.0M, a beta of 4.52 versus the broader market, a 52-week range of 14.18667-113.66, average daily share volume of 109K, a public-listing history dating back to 2025. These structural characteristics shape how LRCU etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 4.52 indicates LRCU has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position.

What is a butterfly on LRCU?

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.

LRCU snapshot

As of September 29, 2026, spot at $53.17, ATM IV 119.40%, IV rank 32.18%, expected move 34.23%. The butterfly on LRCU below is built from the September 29, 2026 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 LRCU specifically: LRCU IV at 119.40% 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 34.23% (roughly $18.20 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 LRCU expiries trade a higher absolute premium for lower per-day decay. Position sizing on LRCU should anchor to the underlying notional of $53.17 per share and to the trader's directional view on LRCU etf.

LRCU butterfly setup

The LRCU butterfly below is built from the September 29, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With LRCU at $53.17 on that close, the first option leg uses a $51.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed LRCU 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 LRCU shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$51.00	$6.35
Sell 2	Call	$53.00	$5.20
Buy 1	Call	$56.00	$4.05

LRCU butterfly risk and reward

Net Premium / Debit: $0.00
Max Profit (per contract): $190.78
Max Loss (per contract): -$100.00
Breakeven(s): $55.00
Risk / Reward Ratio: 1.908

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.

LRCU butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on LRCU. 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%	$0.00
$11.77	-77.9%	$0.00
$23.52	-55.8%	$0.00
$35.28	-33.7%	$0.00
$47.03	-11.5%	$0.00
$58.79	+10.6%	-$100.00
$70.54	+32.7%	-$100.00
$82.30	+54.8%	-$100.00
$94.05	+76.9%	-$100.00
$105.81	+99.0%	-$100.00

When traders use butterfly on LRCU

Butterflies on LRCU are pinning bets - traders use them when they expect LRCU 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.

LRCU thesis for this butterfly

The market-implied 1-standard-deviation range for LRCU extends from approximately $34.97 on the downside to $71.37 on the upside. A LRCU long call butterfly is a pinning play: it pays maximum at the middle strike if LRCU settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current LRCU IV rank near 32.18% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on LRCU should anchor more to the directional view and the expected-move geometry. As a Financial Services name, LRCU options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to LRCU-specific events.

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

Frequently asked questions

What is a butterfly on LRCU?: A butterfly on LRCU is the butterfly strategy applied to LRCU (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 LRCU etf at $53.17 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed LRCU chain strike and the premiums come straight from that session's bid/ask midpoint.
How are LRCU 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 LRCU butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 119.40%), the computed maximum profit is $190.78 per contract and the computed maximum loss is -$100.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a LRCU butterfly?: The breakeven for the LRCU butterfly priced on this page is roughly $55.00 at expiration, derived from the September 29, 2026 end-of-day chain's premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The LRCU market-implied 1-standard-deviation expected move in the same options snapshot is approximately 34.23%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on LRCU?: Butterflies on LRCU are pinning bets - traders use them when they expect LRCU 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 LRCU implied volatility affect this butterfly?: LRCU ATM IV is at 119.40% with IV rank near 32.18%, 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.