Volatility
How much and how fast a price jumps around.
In plain English
A low-volatility stock moves in small, steady steps. A high-volatility one can jump 5% before lunch. Whole markets also switch between calm and panicky periods.
Uncle Gary explains
A calm stock moves like Uncle Gary in his lawn chair: slowly and predictably. A volatile one moves like Kevin on a trampoline after three energy drinks.
Why it matters for your money
Higher volatility means bigger swings both ways, so stops and position sizes have to account for it. We checked the golden cross in calm and panicky markets separately. Nothing changed.
Where we tested it
- Does the Golden Cross Work? We Tested 72 Strategies
- Does Volume Confirm the Trend? Sometimes It Contradicts It
- Lesson 3: Spread: Same Average, Very Different Night
- Lesson 5: The Bell Curve, Explained at the Bar
Related terms
All glossary terms. Educational content, not financial advice.