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Is There a Visual Representation of Volatility?
As volatility gets reduced and you have a sort of smaller distribution, people are going to take larger position sizes. And so when that happens, as soon as tha perturbation happens outside that range, it just explodes the volatility. So i don't know if i explained it as well as you probably would, but in traders and agents acting upon those overtime, you're gon to go from a what looks like a broad distribution to very narrow distribution,. Where you're reducing volatility, till something happens, where now they're taking on such large size that now it explodes in volatility. Is kind of the best way to think about it, without showing a visual representation.