Volatility Definition Market volatility is the frequency and magnitude of price movements, up or down. The bigger and more frequent the price swings, the more volatile the market is said to be.

August has so far been a choppy month for markets — volatility surged as questions and uncertainty about the global economy emerged. But the spike in volatility was a "huge overreaction," Gerry Fowler ...

Volatility is important for position sizing, determining risk, calculating stops and profit-targets, and rebalancing portfolios. Average true range is a useful measure for position sizing in futures ...

Samantha (Sam) Silberstein, CFP®, CSLP®, EA, is an experienced financial consultant. She has a demonstrated history of working in both institutional and retail environments, from broker-dealers to ...

From an investment perspective, volatility is typically discussed in two broad categories: historical volatility and implied volatility. The real challenge in investing is not whether investors get ...

Paid non-client promotion: Affiliate links for the products on this page are from partners that compensate us (see our advertiser disclosure with our list of partners for more details). However, our ...

Learn how excluding volatile items in financial and economic data improves long-term trend analysis. Discover examples in corporate earnings and economic indices.

Most days, the stock market doesn’t see big moves higher or lower. Generally, indexes like the S&P 500 gain or lose less than 1% a day. But from time to time, the market experiences significant price ...