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Implied volatility — concept

About this app

From the market price back to σ: the price-over-σ curve rises strictly monotonically (vega > 0) — the movable market-price line intersects it in exactly one point, the implied volatility. “Solve” shows bisection as a visible search; no-arbitrage zones bound admissible prices. Debunks “σ is measurable like the price”.

Subject: Financial derivatives

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