Volatility influences options prices because dramatic price swings amplify gains and losses. While traders can’t look at a crystal ball to see how much volatility the market will endure, implied ...

Volatility is a statistical measure of the degree of variation in the price of a financial instrument over time. While volatility of a financial instrument is often seen as a risk, it can also present ...

Implied volatility is a powerful but often misunderstood metric that plays a major role in options trading. Implied volatility doesn’t tell you what’s going to happen to an option’s price, but it ...