Jul.15, 2025
-Opportunity Creation: High volatility provides significant profit opportunities within short timeframes, but simultaneously carries substantial loss risks
- Psychological Pressure: Higher volatility increases emotional stress and decision-making difficulties for investors
-Position Sizing: Greater volatility allows achieving the same risk exposure with smaller position sizes
-Market Timing: Volatility expansion periods offer increased trading opportunities, while contraction phases favor long-term position building
- Risk Management: Stop-loss and target levels must be adjusted according to volatility levels
