How are NLR strangle max profit and max loss calculated?

Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the NLR strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 34.60%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$577.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a NLR strangle?

The breakeven for the NLR strangle priced on this page is roughly $109.23 and $130.78 at expiration, derived from the August 14, 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 NLR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.92%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current NLR implied volatility affect this strangle?

NLR ATM IV is at 34.60% with IV rank near 23.13%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.

NLR Strangle Strategy

NLR (VanEck Uranium and Nuclear ETF), in the Financial Services sector, (Asset Management industry), listed on AMEX.

VanEck ETF Trust - VanEck Uranium and Nuclear ETF is an exchange traded fund launched and managed by Van Eck Associates Corporation. The fund invests in public equity markets of global region. The fund invests in stocks of companies operating across energy, oil, gas and consumable fuels, coal and consumable fuels, uranium ores, utilities, electric power generation by nuclear fuels sectors. The fund invests in growth and value stocks of companies across diversified market capitalization. The fund seeks to track the performance of the MVIS Global Uranium & Nuclear Energy Index and MSCI ACWI Index, by using full replication technique. VanEck ETF Trust - VanEck Uranium and Nuclear ETF was formed on August 13, 2007 and is domiciled in the United States.

NLR (VanEck Uranium and Nuclear ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $2.84B, a beta of 1.13 versus the broader market, a 52-week range of 101.92-168.12, average daily share volume of 461K, a public-listing history dating back to 2007. These structural characteristics shape how NLR etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 1.13 places NLR roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. NLR pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a strangle on NLR?

A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money.

NLR snapshot

As of August 14, 2026, spot at $118.72, ATM IV 34.60%, IV rank 23.13%, expected move 9.92%. The strangle on NLR below is built from the August 14, 2026 end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 35-day expiry.

Why this strangle structure on NLR specifically: NLR IV at 34.60% is on the cheap side of its 1-year range, which favors premium-buying structures like a NLR strangle, with a market-implied 1-standard-deviation move of approximately 9.92% (roughly $11.78 on the underlying). The 35-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated NLR expiries trade a higher absolute premium for lower per-day decay. Position sizing on NLR should anchor to the underlying notional of $118.72 per share and to the trader's directional view on NLR etf.

NLR strangle setup

The NLR strangle below is built from the August 14, 2026 end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With NLR at $118.72 on that close, the first option leg uses a $125.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NLR chain at a 35-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 NLR shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$125.00	$2.68
Buy 1	Put	$115.00	$3.10

NLR strangle risk and reward

Net Premium / Debit: -$577.50
Max Profit (per contract): Unbounded
Max Loss (per contract): -$577.50
Breakeven(s): $109.23, $130.78
Risk / Reward Ratio: Unbounded

Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit.

NLR strangle payoff curve

Modeled P&L at expiration across a range of underlying prices for the strangle on NLR. 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%	+$10,921.50
$26.26	-77.9%	+$8,296.65
$52.51	-55.8%	+$5,671.79
$78.76	-33.7%	+$3,046.94
$105.00	-11.6%	+$422.08
$131.25	+10.6%	+$47.77
$157.50	+32.7%	+$2,672.63
$183.75	+54.8%	+$5,297.48
$210.00	+76.9%	+$7,922.33
$236.25	+99.0%	+$10,547.19

When traders use strangle on NLR

Strangles on NLR are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the NLR chain.

NLR thesis for this strangle

The market-implied 1-standard-deviation range for NLR extends from approximately $106.94 on the downside to $130.50 on the upside. A NLR long strangle is the OTM cousin of the straddle: lower up-front cost but the underlying has to travel further past either OTM strike before the position turns profitable at expiration. Current NLR IV rank near 23.13% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on NLR at 34.60%. As a Financial Services name, NLR options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NLR-specific events.

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

Frequently asked questions

What is a strangle on NLR?: A strangle on NLR is the strangle strategy applied to NLR (etf). The strategy is structurally neutral / high-volatility (long premium, OTM): A long strangle buys an OTM call and an OTM put at offset strikes, cheaper than a straddle but requiring a larger underlying move to profit since both wings start out-of-the-money. With NLR etf at $118.72 on the August 14, 2026 close, the strikes shown on this page are snapped to the nearest listed NLR chain strike and the premiums come straight from that session's bid/ask midpoint.
How are NLR strangle max profit and max loss calculated?: Upside max profit is unbounded; downside max profit is bounded at the put strike minus the combined debit (reached at zero). Max loss equals the combined debit times 100 (reached anywhere between the two OTM strikes). Two breakevens at call-strike plus debit and put-strike minus debit. For the NLR strangle priced from the August 14, 2026 end-of-day chain at a 30-day expiry (ATM IV 34.60%), the computed maximum profit is unbounded per contract and the computed maximum loss is -$577.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a NLR strangle?: The breakeven for the NLR strangle priced on this page is roughly $109.23 and $130.78 at expiration, derived from the August 14, 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 NLR market-implied 1-standard-deviation expected move in the same options snapshot is approximately 9.92%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a strangle on NLR?: Strangles on NLR are the cheaper cousin of the straddle - traders use them when they want a large directional move but are willing to give up the inner-strike sensitivity in exchange for a lower up-front debit on the NLR chain.
How does current NLR implied volatility affect this strangle?: NLR ATM IV is at 34.60% with IV rank near 23.13%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.