What does Implied Volatility mean in terms of stocks? Im reading that the stock could surge either way and that November 20th is a key day coming up..........
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That makes no sense at all 🤦🏻♂️
Yes, that is an actual post. Let's see what happens.
Implied volatility basically means that something pretty significant is going to happen. Stock traders buy options , for a company and they usually have/own the option for 30 days. During this time they can sell the option or keep it for the full amount of time. Since the target for BBBY is $10 per share in the coming days, it seems people are shorting this stock - they are essentially betting it will go down to 10 dollars a share. Looks like that is the trend for now. Most people buy stocks hoping they will go up and they can profit. Volatile basically means something is unstable. My bet is that traders are convinced BBBY is going to sink like a lead brick. Hope this helps