Preview of Topic on Market Ranges - Measuring the Net Change of absolute ranges and Net % for relative ranges to define daily trading ranges as Big, Normal and Dull Days.
* Theoretically price spreads for entry within 1 Standard Deviation of Normal and Dull Days. Then, exit for profit or limit losses on Big Days with defined extreme readings outside 1 Standard Deviation.
* Factoring changes in the Yield Curve of US Treasuries (Normal, Flat and Inverted) to appropriately scale the exposure of option trades in Equities and the allocation per trade.
* Gauging the daily Net % trading range of a product by dividing the annualized volatility of the front month by 16 (square-root of 256 trading days), to gauge if it makes sense to Theoretically Price trades within -/+ 1 Standard Deviation.
* Cycles of Economic Calendar Events and Sectorâspecific Recycled News affecting the rising and reduction of volatilities.
