1) Tiny tranquility candles above/ under a gap can hide volatility.
Full body candles cannot hide volatility.
2) Benoit Mandelbrot chaos prof : Volatility days are defined as days
with +/- 3% change.
They tend to cluster together. They appear in a downtrend and rallies.
THEY DON’T PREDICT TREND
They predict chaos and a major change.
3) Spx : after six month of tranquility, Aug 5th was a 3.8% day // Ndx was a 4.5% day.
4) US 10Y : Aug 1st & Aug 5th both were 5.9% days.
5) German : 10Y Aug 13 & 14 are very volatile days in vertical max.
6) Stay out of their way.