Nvidia Stock Volatility

The past volatility of the security over the selected time frame calculated using the closing price on each trading day.

Nvidia stock volatility. There is a trigger in nvidia corp nasdaq nvda that has preceded a large stock move and that move has created a powerful option trading opportunity in the past. Historic volatility is the standard deviation of the price returns over a given number of sessions multiplied by a factor 260 days to produce an annualized volatility level. The stock is above its 200 week simple moving average or reversion to the mean at. Nvidia stock volatility depicts how high the prices fluctuate around the mean or its average price.

In other words it is a statistical measure of the distribution of nvidia daily returns and it is calculated using variance and standard deviation. Iv can help traders determine if options are fairly valued undervalued or overvalued. Nvidia stock will likely suffer from more volatility in april it might still be too early to jump back into nvda stock by tezcan gecgil investorplace contributor apr 6 2020 11 51 am edt april. Iv is the estimated volatility of the underlying stock over the period of the option.

Stocks volatility greeks for nvidia corp with option quotes option chains greeks and volatility. That s because these stocks usually carry above average risk and volatility. A price return is the natural logarithm of the percentage price changes or ln pt p t 1. The strategy won t work forever but for now it is a volatility back test that has not only returned 113 9 but has also shown a win rate of 62 while taking no stock direction risk.

Nvidia s shares have provided investors with a total return of 189 8 over the past 12 months compared to the s p 500 s total return of 15 7. Nvidia stock will probably be hit with volatility and profit taking in october as uncertainty regarding trade wars continues there will likely be more pain for semiconductor stocks including nvda.