Volatility (red line) is very low - too low - some analysts say. The market seems to be too complacent. The market, however, likes low volatility.
The market usually performs well when volatility is below 20. But stocks may be in trouble, as in 2007, when volatility rises above 20.
You will find more details on how these ideas apply to portfolio management in The Peter Dag Portfolio on www.peterdag.com
George Dagnino, PhD
Editor, The Peter Dag Portfolio
Since 1977 Author, Profiting in Bull and Bear Markets
No. 1 bond timer in the past 12 months.
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