Could someone explain how to get the Up/Down move factor when the question gives the moves up or down and expected probability of each?
Ex. Stock will move up or down by 20% and analyst thinks probability of up is 80% and probability of down is 20%.
Could someone explain how to get the Up/Down move factor when the question gives the moves up or down and expected probability of each?
Ex. Stock will move up or down by 20% and analyst thinks probability of up is 80% and probability of down is 20%.