The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to be talking about why uncertainty is the only cause of market volatility. This is really important because I think a lot of people get this wrong. But the only reason why stocks, options, bonds, real estate, anything is volatile is because of one thing and one thing only and that is uncertainty of the future. When the future is more uncertain than not, things will become very volatile and in many cases, will just go down. When the future is certain or close to being as certain as possible, then we see that many, many times, markets or securities or industries and sectors actually rally. Even though the news could be bad, even though it could be detrimental, it's still certain news. We know it’s going to happen. The markets know how to adjust and know how to react. And I find this very fascinating because if you actually go back and you watch many times where a news announcement has come out and mor