Volatility watch: what's the range telling you?

Volatility regimes change the whole game: tight ranges starve breakout traders, wide ranges punish the patient. Watching volatility itself — ATR, VIX, option-implied — is a market read of its own.

Volatility watch: what's the range telling you? — support and resistance diagram
Price bouncing between support and resistance

What are you seeing?

  • how current volatility compares with recent norms
  • which pairs have compressed or expanded
  • how you're adjusting to the regime
Volatility watch: what's the range telling you? — trend versus range diagram
A trending market compared with a ranging one

Background: ATR and volatility stops.

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