How are RSST 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 RSST butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 232.80%), the computed maximum profit is $89.07 per contract and the computed maximum loss is -$103.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.

What is the breakeven for a RSST butterfly?

The breakeven for the RSST butterfly priced on this page is roughly $33.90 and $35.97 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 RSST market-implied 1-standard-deviation expected move in the same options snapshot is approximately 66.74%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.

How does current RSST implied volatility affect this butterfly?

Current RSST ATM IV is 232.80%; IV rank context is unavailable in the current snapshot.

RSST Butterfly Strategy

RSST (Return Stacked U.S. Stocks & Managed Futures ETF), in the Financial Services sector, (Asset Management industry), listed on CBOE.

Tidal Trust II - Return Stacked U.S. Stocks & Managed Futures ETF is an exchange traded fund launched and managed by Tidal Investments LLC. The fund is co-managed by Newfound Research LLC, Resolve Asset Management Inc and Resolve Asset Management Sezc. The fund invests in public equity, fixed income, commodity, and currency markets of the United States. For its equity portion, it invests directly, through other funds and through derivatives in stocks of companies operating across diversified sectors. The fund employs long/short strategy and uses derivatives such as futures to create its portfolio.

RSST (Return Stacked U.S. Stocks & Managed Futures ETF) trades in the Financial Services sector, specifically Asset Management, with a market capitalization of approximately $510.7M, a beta of 1.13 versus the broader market, a 52-week range of 25.86-36.08, average daily share volume of 122K, a public-listing history dating back to 2023, approximately 172 full-time employees. These structural characteristics shape how RSST etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.

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

What is a butterfly on RSST?

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.

RSST snapshot

As of September 29, 2026, spot at $35.45, ATM IV 232.80%, expected move 66.74%. The butterfly on RSST 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 80-day expiry.

Why this butterfly structure on RSST specifically: IV rank is unavailable in the current snapshot, so regime-based timing for RSST is inferred from ATM IV at 232.80% alone, with a market-implied 1-standard-deviation move of approximately 66.74% (roughly $23.66 on the underlying). The 80-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated RSST expiries trade a higher absolute premium for lower per-day decay. Position sizing on RSST should anchor to the underlying notional of $35.45 per share and to the trader's directional view on RSST etf.

RSST butterfly setup

The RSST 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 RSST at $35.45 on that close, the first option leg uses a $34.00 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed RSST chain at a 80-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 RSST shares for the stock leg in covered calls and collars).

Action	Type	Strike / Basis	Premium (est)
Buy 1	Call	$34.00	$2.35
Sell 2	Call	$35.00	$1.50
Buy 1	Call	$37.00	$0.68

RSST butterfly risk and reward

Net Premium / Debit: -$3.00
Max Profit (per contract): $89.07
Max Loss (per contract): -$103.00
Breakeven(s): $33.90, $35.97
Risk / Reward Ratio: 0.865

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.

RSST butterfly payoff curve

Modeled P&L at expiration across a range of underlying prices for the butterfly on RSST. 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%	-$3.00
$7.85	-77.9%	-$3.00
$15.68	-55.8%	-$3.00
$23.52	-33.6%	-$3.00
$31.36	-11.5%	-$3.00
$39.20	+10.6%	-$103.00
$47.03	+32.7%	-$103.00
$54.87	+54.8%	-$103.00
$62.71	+76.9%	-$103.00
$70.54	+99.0%	-$103.00

When traders use butterfly on RSST

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

RSST thesis for this butterfly

The market-implied 1-standard-deviation range for RSST extends from approximately $11.79 on the downside to $59.11 on the upside. A RSST long call butterfly is a pinning play: it pays maximum at the middle strike if RSST settles there at expiration, with the wing legs capping both the cost and the maximum loss to the net debit. As a Financial Services name, RSST options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to RSST-specific events.

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

Frequently asked questions

What is a butterfly on RSST?: A butterfly on RSST is the butterfly strategy applied to RSST (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 RSST etf at $35.45 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed RSST chain strike and the premiums come straight from that session's bid/ask midpoint.
How are RSST 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 RSST butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 232.80%), the computed maximum profit is $89.07 per contract and the computed maximum loss is -$103.00 per contract. Live intraday quotes will differ as the chain moves through the trading session.
What is the breakeven for a RSST butterfly?: The breakeven for the RSST butterfly priced on this page is roughly $33.90 and $35.97 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 RSST market-implied 1-standard-deviation expected move in the same options snapshot is approximately 66.74%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
When should you consider a butterfly on RSST?: Butterflies on RSST are pinning bets - traders use them when they expect RSST 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 RSST implied volatility affect this butterfly?: Current RSST ATM IV is 232.80%; IV rank context is unavailable in the current snapshot.