What is it?
Standard Deviation measures how much an asset’s price deviates from its average, indicating volatility. It’s a statistical tool to understand price consistency.
How is it used?
How is it calculated?
StdDev = √[(Σ(Price - SMA)²) / n]
Where n is the period, and SMA is the mean price over that period.
The above content is designed for informational purposes only, and is explicitly not investment advice. Algo Pilot is a US based technology company and not a bank, broker-dealer, or RIA. As such, Algo Pilot LLC does not provide investment advice and is not a member, SIPC. Brokerage services offered by 3rd parties are not directly affiliated with Algo Pilot LLC, and Algo Pilot users may choose the broker relationship that they desire.
Algo PilotTM is a US based technology company and not a bank, broker-dealer, or RIA. As such, Algo Pilot LLC does not provide investment advice and is not a member, SIPC. Brokerage services offered by 3rd parties are not directly affiliated with Algo Pilot LLC, and Algo PilotTM users may choose the broker relationship that they desire. Algo Pilot's Algo Builder is Patent Pending with the USPTO.
Past performance, whether actual or indicated by historical tests of strategies, is not a guarantee of future performance or success. Investing in stocks, futures, options, currencies, cryptocurrencies, and other financial vehicles involves risk. Investing in securities involves potential loss of principal. Trading in options or security futures involves a high degree of risk and investors may lose more than their initial investment; options trading is not suitable for all investors. Before trading, please read all applicable risk disclosures such as Characteristics and Risks of Standardized Options disclosure from your broker.
