Financial Education

Implied Volatility (IV)

Market's implied future volatility via option pricing

Export Options:
Technical

Implied Volatility (IV)

Market's implied future volatility via option pricing

Definition

Implied volatility is the market's forecast of future price volatility, derived from option prices using models like Black-Scholes. High IV suggests market expectation of large price moves; low IV suggests stability.

Related Topics

#options pricing #volatility forecast #black-scholes #market sentiment

Quick Actions

Category: Technical

Technical analysis focuses on price patterns, chart analysis, and mathematical indicators to predict future price movements.

View all Technical terms →