Why Is The Obvious Not So Obvious?

Discussion in 'Risk Management' started by nysestocks, Jan 25, 2009.

  1. MCben

    MCben

    Yep!! Copy-Paste Gurus all over the world! LOL!
     
    #5331     Oct 18, 2016
  2. RobSwe

    RobSwe

    On the top of my head these two are important in my opinion:

    The market is always in a unique state at a specific point in time. There are never exactly the same players active at any one point in time as in another point in time. Situations can be very similar but not exactly the same.

    Another one would be that people's perceptions about what is going to happen next constantly changes, sometimes very rapidly.
     
    #5332     Oct 26, 2016
  3. That`s BS.The ONLY thing that changes is volatility.
     
    #5333     Oct 26, 2016
  4. wtfauoa

    wtfauoa

    What is your explanation of volatility and how do you come to the conclusion that it is the only thing that changes in the markets? What volatility are you talking about, as there are 3 types?
     
    #5334     Oct 26, 2016
  5. For the purpose of trading your only interested in the current volatility,which is THE ONLY thing that change for you as a trader..
     
    #5335     Oct 26, 2016
  6. wtfauoa

    wtfauoa

    You have to be more specific, as trading a financial instrument can be carried out in several different ways. What financial instrument are you referring to, and can you give an example of the change in "current volatility" that you speak of?
     
    #5336     Oct 26, 2016
  7. It can be carried out as it like,but the current volatility is all that change and matters.Sorry,i can`t give you an example,as it`s proprietary.But you can take Bollinger,for e.g.,though it`s lagging.There are things outhere that are more complete.
     
    #5337     Oct 26, 2016
  8. wtfauoa

    wtfauoa

    It all depends on what you are trying to achieve. One person or group might pick a financial instrument with very low volatility (investing), whilst another might pick one with extremely high volatility (speculating). Some will argue that they are the same, as there is no guarantee that the low volatility will not change to high volatility. The factors that contribute to the change in volatility for a financial instrument can be many, and depending on the instrument can exhibit different levels of volatility, e.g, crude oil futures versus government bonds. One has to be very specific when speaking about volatility, but it is very important to be aware of same no matter what financial instrument one decides to invest or speculate in.
     
    #5338     Oct 26, 2016
  9. Do you mean there are non public domain indicators to measure volatility using special maths? Any hints? Thanks.
     
    #5339     Oct 28, 2016
  10. Both,some of them in a public and free to use.Nothing fancy there,really.
     
    #5340     Oct 28, 2016
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