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To: At_The_Ask who wrote (67541)	2/27/2003 10:35:24 AM
From: OX	Read Replies (1) \| Respond to of 209892

the easiest and fastest way to measure IV is w/ the VIX. of course the instrument u r trading may not conform. u seem to confuse IV w/ HV. IV is the volatility for current conditions (prices, etc). totally different that HV (historic). Dan provides an excellent discussion of the diff btw BB's and HV: "(HV) volatility is all about the variation in the day to day changes, which is completely different from the deviations from the average over several days." Message 18618045 that's using HV and BB's as it's strict definition. in practicality, one could use BB's (as tyke does) to estimate volatility (not IV, and not necessarily HV either, just some kind of volatility--which BB's are a measure of--just another measurment of "some other kind" of volatility). the use of BB's as an estimate of "some kind of volatility" really depends on one's purpose for doing so.