SKDD Butterfly Strategy
SKDD (GraniteShares 2x Short SK Hynix Daily ETF), in the Financial Services sector, (Asset Management - Leveraged industry), listed on NASDAQ.
The GraniteShares 2x Short SK Hynix Daily ETF is a leveraged exchange-traded fund that seeks to deliver -2× the daily performance of the SK hynix Inc. ADR (Nasdaq: SKHY) before fees and expenses. The fund primarily gains its inverse exposure through short positions and swap agreements on the underlying ADR, with leverage reset daily. Designed for short-term trading, it amplifies both potential gains and losses and is not intended as a long-term investment.
SKDD (GraniteShares 2x Short SK Hynix Daily ETF) trades in the Financial Services sector, specifically Asset Management - Leveraged, with a market capitalization of approximately $9.1M, a beta of -3.50 versus the broader market, a 52-week range of 6.33-21.89, average daily share volume of 8.7M, a public-listing history dating back to 2026. These structural characteristics shape how SKDD etf options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of -3.50 indicates SKDD has historically moved less than the broader market, dampening realized volatility and producing tighter expected-move bands per unit of dollar exposure.
What is a butterfly on SKDD?
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.
SKDD snapshot
As of September 29, 2026, spot at $6.94, ATM IV 108.50%, expected move 31.11%. The butterfly on SKDD 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 SKDD specifically: IV rank is unavailable in the current snapshot, so regime-based timing for SKDD is inferred from ATM IV at 108.50% alone, with a market-implied 1-standard-deviation move of approximately 31.11% (roughly $2.16 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 SKDD expiries trade a higher absolute premium for lower per-day decay. Position sizing on SKDD should anchor to the underlying notional of $6.94 per share and to the trader's directional view on SKDD etf.
SKDD butterfly setup
The SKDD 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 SKDD at $6.94 on that close, the first option leg uses a $6.59 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed SKDD 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 SKDD shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Call | $6.59 | N/A |
| Sell 2 | Call | $6.94 | N/A |
| Buy 1 | Call | $7.29 | N/A |
SKDD butterfly risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
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.
SKDD butterfly payoff curve
Modeled P&L at expiration across a range of underlying prices for the butterfly on SKDD. 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.
When traders use butterfly on SKDD
Butterflies on SKDD are pinning bets - traders use them when they expect SKDD 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.
SKDD thesis for this butterfly
The market-implied 1-standard-deviation range for SKDD extends from approximately $4.78 on the downside to $9.10 on the upside. A SKDD long call butterfly is a pinning play: it pays maximum at the middle strike if SKDD 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, SKDD options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to SKDD-specific events.
SKDD 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. SKDD positions also carry Financial Services sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move SKDD alongside the broader basket even when SKDD-specific fundamentals are unchanged. Always rebuild the position from current SKDD chain quotes before placing a trade.
Frequently asked questions
- What is a butterfly on SKDD?
- A butterfly on SKDD is the butterfly strategy applied to SKDD (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 SKDD etf at $6.94 on the September 29, 2026 close, the strikes shown on this page are snapped to the nearest listed SKDD chain strike and the premiums come straight from that session's bid/ask midpoint.
- How are SKDD 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 SKDD butterfly priced from the September 29, 2026 end-of-day chain at a 30-day expiry (ATM IV 108.50%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a SKDD butterfly?
- The breakeven for the SKDD butterfly priced on this page is no defined breakeven on the modeled curve 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 SKDD market-implied 1-standard-deviation expected move in the same options snapshot is approximately 31.11%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a butterfly on SKDD?
- Butterflies on SKDD are pinning bets - traders use them when they expect SKDD 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 SKDD implied volatility affect this butterfly?
- Current SKDD ATM IV is 108.50%; IV rank context is unavailable in the current snapshot.