The Ways: How to Make Market Volatility Go In Your Favor
Well, volatility refers to uncertainties and risks involved with the size of changes with currency exchange price. High volatility means that the price of a currency pair can significantly change in just short span of time and also in any direction. On the other hand, if a currency pair has low volatility, it means the exchange rate would not change dramatically but it would have a steady pace for a particular value over a fixed period of time. People involved in day trading need to understand that the high volatility means riskier trades. Types of volatility trading: Volatility trading has two different types- historical and implied. Historical volatility refers to low volatility of normal price action while implied volatility refers to high volatility abnormal current price action. When the volatility goes against you, it can bring you the lost. However, there are some ways to help you with it. By following certain rules, you can make volatility grow profits for you and make