Historical Volatility

The term historical volatility is used to describe how often a security has traded in a certain range.

The higher the volatility, the more money people are willing to pay for that security. This can be a good thing or a bad thing depending on the context.

For example, if you buy a security that is highly volatile, you may be more likely to receive price rebounds rather than sustained losses.

Leave a Comment

Your email address will not be published.

Scroll to Top