How are NVDL 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 NVDL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 81.13%), the computed maximum profit is $200.11 per contract and the computed maximum loss is $44.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a NVDL butterfly?

The breakeven for the NVDL butterfly priced on this page is no defined breakeven on the modeled curve 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 NVDL market-implied 1-standard-deviation expected move is approximately 23.26%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current NVDL implied volatility affect this butterfly?

NVDL ATM IV is at 81.13% with IV rank near 44.26%, 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.

NVDL Butterfly Strategy

NVDL (GraniteShares 2x Long NVDA Daily ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on NASDAQ.

This Fund aims to deliver daily returns that, before factoring in fees and expenses, are two times (200%) the daily percentage fluctuation of NVIDIA Corp's (NASDAQ: NVDA) common stock. There is no certainty, however, that the Fund will always meet this specific goal. Furthermore, investors should not expect the Fund to provide double the total accumulated return of NVDA for any timeframe extending beyond a single day.

NVDL (GraniteShares 2x Long NVDA Daily ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $2.61B, a beta of 3.67 versus the broader market, a 52-week range of 21.53667-43.27334, average daily share volume of 24.4M, a public-listing history dating back to 2022. These structural characteristics shape how NVDL etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

A beta of 3.67 indicates NVDL has historically moved more than the broader market, amplifying both the directional payoff and the realized volatility relative to an index-equivalent position. NVDL pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.

What is a butterfly on NVDL?

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 NVDL snapshot

As of June 30, 2026, spot at $29.63, ATM IV 81.13%, IV rank 44.26%, expected move 23.26%. The butterfly on NVDL 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 31-day expiry.

Why this butterfly structure on NVDL specifically: NVDL IV at 81.13% 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 23.26% (roughly $6.89 on the underlying). The 31-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated NVDL expiries trade a higher absolute premium for lower per-day decay. Position sizing on NVDL should anchor to the underlying notional of $29.63 per share and to the trader's directional view on NVDL etf.

NVDL butterfly setup

The NVDL 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 NVDL near $29.63, the first option leg uses a $28.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed NVDL chain at a 31-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 NVDL shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$28.00	$3.18
Sell 2	Call	$29.67	$2.92
Buy 1	Call	$31.17	$2.21

NVDL butterfly risk and reward

Net Premium / Debit: +$44.50
Max Profit (per contract): $200.11
Max Loss (per contract): $44.50
Breakeven(s): None on modeled curve
Risk / Reward Ratio: 4.497

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.

NVDL butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on NVDL. 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%	+$44.50
$6.56	-77.9%	+$44.50
$13.11	-55.8%	+$44.50
$19.66	-33.6%	+$44.50
$26.21	-11.5%	+$44.50
$32.76	+10.6%	+$61.50
$39.31	+32.7%	+$61.50
$45.86	+54.8%	+$61.50
$52.41	+76.9%	+$61.50
$58.96	+99.0%	+$61.50

When traders use butterfly on NVDL

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

NVDL thesis for this butterfly

The market-implied 1-standard-deviation range for NVDL extends from approximately $22.74 on the downside to $36.52 on the upside. A NVDL long call butterfly is a pinning play: it pays maximum at the middle strike if NVDL settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. Current NVDL IV rank near 44.26% is mid-range against its 1-year distribution, so the IV signal is neutral; the butterfly thesis on NVDL should anchor more to the directional view and the expected-move geometry. As a Financial Services name, NVDL options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to NVDL-specific events.

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

Frequently asked questions

What is a butterfly on NVDL?: A butterfly on NVDL is the butterfly strategy applied to NVDL (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 NVDL etf trading near $29.63, the strikes shown on this page are snapped to the nearest listed NVDL chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
How are NVDL 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 NVDL butterfly priced from the end-of-day chain at a 30-day expiry (ATM IV 81.13%), the computed maximum profit is $200.11 per contract and the computed maximum loss is $44.50 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a NVDL butterfly?: The breakeven for the NVDL butterfly priced on this page is no defined breakeven on the modeled curve 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 NVDL market-implied 1-standard-deviation expected move is approximately 23.26%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on NVDL?: Butterflies on NVDL are pinning bets - traders use them when they expect NVDL 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 NVDL implied volatility affect this butterfly?: NVDL ATM IV is at 81.13% with IV rank near 44.26%, 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.