Is implied volatility the TRUE SECRET indicator to use for forward looking when to portfolio manage vs day trade for short term profit?

(Last Updated On: September 17, 2014)

Is implied volatility the TRUE SECRET indicator to use for forward looking when to portfolio manage vs day trade for short term profit?

This could be the key to long term profitable trading that the general retail traders might not know. From what I am learning, no matter how you trade over 80% of your time should be spent managing your portfolio (hello proper risk management?) vs 20% in day trading for short term profit potential. Why should we be focusing all this energy on model and strategy development when this appears to be a very short sighted way of trading. This is just a hunch at this point.

For my Elite members, I am focusing on this:

“Forward looking implied volatility enables shorter term trade vs portfolio management stance to look at long term time horizons”

Anyhow, I am building Matlab scripts and Excel spreadsheets to help accomplish:

Use implied volatility to give an forward outlook for when to portfolio manage vs short term profit via day trading.

This is part of a new automated system to give long term profit potential as foundation to work from. In other words, I hope this will become my meal ticket of the future for constant profit!

My new 35,000 Foot view is:

If you are day trading all the time, you are at best handing back your profits to the market over the long run or losing most of the time. Hey no matter what you think of this theory, you are most likely going to be in the wrong but this is most likely the fundamental reason why most retail trader lose . It seems what you read is dead wrong as they are put out by amateurs who are either selling junk to you or really don’t know what really is going on. That is why I am building this system so a new data analytics alert system will come out of this for my members. This is no different that trading signals.

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About caustic

Hi i there My name is Bryan Downing. I am part of a company called QuantLabs.Net This is specifically a company with a high profile blog about technology, trading, financial, investment, quant, etc. It posts things on how to do job interviews with large companies like Morgan Stanley, Bloomberg, Citibank, and IBM. It also posts different unique tips and tricks on Java, C++, or C programming. It posts about different techniques in learning about Matlab and building models or strategies. There is a lot here if you are into venturing into the financial world like quant or technical analysis. It also discusses the future generation of trading and programming Specialties: C++, Java, C#, Matlab, quant, models, strategies, technical analysis, linux, windows P.S. I have been known to be the worst typist. Do not be offended by it as I like to bang stuff out and put priorty of what I do over typing. Maybe one day I can get a full time copy editor to help out. Do note I prefer videos as they are much easier to produce so check out my many video at youtube.com/quantlabs