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what is the role of volatility in trading?
6 Answer
<p id="isPasted">Volatility is a measure of the magnitude of price changes in a security or market over a period of time. It is often calculated as the standard deviation of returnsVolatility plays an important role in trading because it can affect the potential rewards and risks of a trade. Higher volatility means that the price of a security is more likely to move significantly, either up or down. This can create more opportunities for profits, but it also increases the risk of losses.</p><p>Traders can use volatility to their advantage in a number of ways. For example, traders who have a …</p>
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