Jeff - I tyed this fly specifically for trout, but the pink coloration may perhaps be useful for grayling. If I were tying for steelhead, I would change a few elements of the fly. I'd use a larger spey style hook. I'd move the tail up to the mid-section and then have a pink silk tag, with a silver tinsel under body/silver wire rib. I think I can find feathers large enough on the honey dun hen cape to use with a steelhead pattern. If not, I'd switch to wood duck for the hackle. Ya can't beat the beauty of wood duck...
EDIT - Adding the steelhead version of the fly...
Foxy Lady Steelhead Flymph
Hook - Alec Jackson Model 2051 Spey Hook / Size 7 (Black)
Thread - Pearsall's Gossamer Silk (Salmonberry)
Body Hackle - Collins Hen Saddle Feather (Honey Dun) - Stripped on one side
Tag/Underbody - Fine Mylar Tinsel (Silver)
Rib - Fine Stainless Steel wire (Silver)
Rear Body - Kreinik Soie Platte Silk (Pink/No. 932)
Tail - Small Bundle of Fibers from Large Hen Saddle Feather (Honey Dun)
Body - Leisenring/Hidy style Silk Dubbing Brush (Fox Squirrel Body Fur on Salmonberry Pearsall's Gossamer Silk)
Front Hackle - Large Hen Saddle Feather - Prepared, tyed in by the tip and folded before wrapping. Front hackle is intentionally full.
Head - Tying silk wrapped to form a small head (westcoast steelhead style)