This lesson is about understanding volatility, its effect on the market, and its practical application.
We’ll cover key indicators like ATR and standard deviation, which allow us to quantitatively assess price movement amplitude and adapt strategies. First, we’ll discuss visual perception of volatility and then its mathematical understanding.
We’ll explore the alternation of high and low volatility periods, their impact on entry and exit points, and the traps created by sharp price fluctuations. Special attention is given to the news factor: how news changes market dynamics, impacts stop losses, and disrupts classic strategy mathematics.
We’ll also apply ATR to assess volatility across timeframes, calculate movement potential, and properly set stop losses and take profits.
In the final segment, we’ll analyze real trades where ATR helps optimize entries, evaluate risks, and improve prediction accuracy.
The key takeaway: not only see volatility but use it in trading decisions.
- Homework: Reinforce the Material Practically