Wednesday, December 3, 2008

Volatility Is NOT Good When It's a See Saw

Volatility is the bread and butter of traders like me. Market movement is very good when it brings large moves in one direction or the other, and whether that movement is up or down doesn't matter. However, on a day like today, when the market is volatile, but in several directions on the same day, it becomes much more difficult to trade, and can often bring sharp losses.