---
title: Volatility Rule
description: "  [![](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-000.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-000.png)   This rule ranks your instruments based on their *price volatility*. So, if you want to be safe, look for instruments that have the lowest volatility. If you want to be aggressive (for example buying a dip and…"
url: "https://portfolioboss.com/documentation/volatility-rule/"
updated: "2022-08-27"
category: "Chapter 7 - Filters & Rules"
---

# Volatility Rule

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-000.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-000.png)

 

This rule ranks your instruments based on their *price volatility*. So, if you want to be safe, look for instruments that have the lowest volatility. If you want to be aggressive (for example buying a dip and selling at a stellar gain), look for instruments that have the highest volatility.

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Both-Sides-of-Volatile-Instrument_00000.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Both-Sides-of-Volatile-Instrument_00000.png)

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Aint-Nothing.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Aint-Nothing.png)

 

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**1.**  The first parameter, "Highest/Lowest", lets you pick instruments that have the highest or lowest volatility. If it's set to "Highest", the most volatile instrument will be ranked at the top. 

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-1st-Param.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-1st-Param.png)

 

If it's set to "Lowest", the least volatile instrument (the most stable) will be ranked at the top.

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-1st-Param-B.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-1st-Param-B.png)

 

---

 

**2.**  The second parameter defines the period to look for the volatility.

 

[![](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-2nd-Param.png)](https://portfolioboss.com/wp-content/uploads/2019/10/Volatility-Rule-2nd-Param.png)

 

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#### Notes

 

Regarding the "Offset" and "Weight" parameters, please refer to the guide about [Ranking Panel](https://portfolioboss.com/documentation/ranking-panel-guide/#offsetweight).

 

 

 
