Demystifying Volatility: A Brief Dive into Predicting Market Movements
<p>As you know, I wrote a series about time series before, after these articles, I wanted to give an idea about how we can keep ourselves in a safe area in potentially risky situations with portfolio analysis. I wanted to tell you how we can guess in Python.</p>
<p>If you want to access previous articles, you can use the links below:</p>
<ol>
<li><a href="https://medium.com/analytics-vidhya/1-introduction-to-time-series-5ae663c468f4" rel="noopener">Introduction to Time Series</a></li>
<li><a href="https://medium.com/analytics-vidhya/2-econometric-statistical-models-in-time-series-7b69ae3ab1d8" rel="noopener">Econometric & Statistical Models in Time Series</a></li>
<li><a href="https://medium.com/analytics-vidhya/3-time-series-forecasting-using-lstm-e14b93f4ec7c" rel="noopener">Time Series Forecasting Using LSTM</a></li>
<li><a href="https://medium.datadriveninvestor.com/portfolio-analysis-in-python-the-impact-of-the-ukraine-war-on-european-and-american-companies-832b02fdf237" rel="noopener ugc nofollow" target="_blank">Portfolio Analysis in Python: The Impact of the Ukraine War on European and American Companies</a></li>
</ol>
<h1>Then what is this Volatility?</h1>
<p>Volatility sits at the heart of financial markets. It serves dual roles — as an informative beacon for investors and as a crucial component in numerous financial models. But why does volatility command such attention? The answer is rooted in one word: uncertainty. This element of unpredictability is fundamental to the mechanics of financial models.</p>
<p>With the global integration of financial markets, we’ve seen an amplification of uncertainty, underscoring the role of volatility. This term describes the intensity of fluctuations in the value of financial assets and often stands as a symbol of risk. It’s no exaggeration to say that volatility has taken center stage in realms like asset pricing and risk management.</p>
<p><a href="https://medium.datadriveninvestor.com/demystifying-volatility-a-brief-dive-into-predicting-market-movements-ed8372b0b67d"><strong>Website</strong></a></p>