Is it good to have a volatile stock market?
Asked 4 years ago
What does a volatile market mean, and is it a good way to measure risk?
Andrew Moran
Wednesday, November 17, 2021
It depends on the type of trader you are and how much you have invested in the financial markets.
If you are a day trader, you want to have a volatile stock market with plenty of volumes, making it easier to find stocks to can generate enough returns to justify day trading.
However, if you are a conservative long-term investor, you would desire a calm and steady upward financial market without multi-percentage gains or losses.
That said, if you incorporate dollar-cost average (DCA) into your investment strategy, volatility levels should not matter to your broader portfolio since you can avoid these times of large gains and losses.
Please follow our Community Guidelines
Related Articles

Following Stock Market Traders' Signals on Social Media
Andrew Moran
May 27, 2021

ZuluTrade: Reviewing the Social and Copy Trading Platform
Andrew Moran
December 23, 2024

AJ Bell 2025 Review: Everything You Need to Know
Jason Taylor
January 16, 2025
Related Posts
Sofia Thai
How Does Stock Market Tax Work?
Andia Rispah Igobwa
Is It Possible to Buy Too Many Stocks?
Can't find what you're looking for?