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VolatilityFree Forever

Nexural QFA Volatility Meter

Quantitative volatility forecasting for expansion and contraction.

VolatilityQFAForecasting

Volatility is the one variable that affects everything — position size, stop distance, target width, and whether your strategy even works in the current environment. QFA Volatility Meter gives you a single 0-100 score that tells you exactly where you stand.

The score uses percentile ranking against recent history. A score of 80 means current volatility is higher than 80% of the last 100 bars. A score of 20 means it's lower than 80% — a squeeze is likely building. The key insight is that volatility is mean-reverting: high readings contract, low readings expand. QFA forecasts which way it's heading.

Use it for position sizing (reduce size in high vol), stop placement (wider stops in high vol), and strategy selection (trend-following in expanding vol, mean-reversion in contracting vol). It's the risk management layer that most traders skip.

What's Inside

Feature Breakdown

Every component of Nexural QFA Volatility Meter explained — what it does, why it matters, and how to read it.

0-100 Volatility Score

Percentile-ranked volatility against recent history. Score of 80 = current vol is higher than 80% of the lookback. Instantly tells you if conditions are normal, quiet, or extreme.

Expansion/Contraction Forecast

Predicts whether volatility is likely to expand or contract based on mean-reversion modeling. Low vol → expansion coming. High vol → contraction coming. The forecast gives you a heads-up to adjust before conditions change.

Position Size Multiplier

Suggests a position size multiplier: 1.0x at normal vol, 0.5x at high vol, 1.5x at low vol. Ties directly into risk management — let math decide your size, not emotion.

Regime Color Coding

Background color-coding: green (normal 30-60), yellow (elevated 60-80), red (extreme 80+), blue (compressed 0-20). Instant visual read on the volatility environment.

How to Trade It

Trade Setups & Examples

Real trade setups using Nexural QFA Volatility Meter. Each example shows the setup, entry trigger, and target.

1
High-Vol Size Reduction
Setup

QFA shows volatility at 82 (extreme). ATR is 2x its 20-day average. Range bars are wide.

Entry

Cut position size to 50% of normal. Widen stops by 1.5x ATR. The same dollar risk with larger stop distance.

Target

Normal targets but with the understanding that wide-range bars mean your target may fill faster — or your stop.

2
Low-Vol Squeeze Anticipation
Setup

QFA drops to 15 (extremely compressed). Price is in a tight range. ACE Squeeze is building.

Entry

This is the setup phase, not the entry. Prepare for expansion — watch for ACE Squeeze to fire. When it does, enter with 1.5x normal size because the expansion will be outsized.

Target

Expanded targets for the squeeze breakout. Low-vol to high-vol transitions produce the largest moves.

Configuration

Settings Reference

Every setting explained. Defaults work out of the box — adjust only when you understand why.

Lookback Period
Default: 100

Number of bars for the percentile ranking calculation. Longer = more historical context. 100 is ideal for intraday; 252 for daily charts (1 trading year).

Forecast Window
Default: 10

Forward-looking forecast period. Models the expected vol path over the next N bars based on mean-reversion.

ATR Period
Default: 14

ATR period used as the base volatility measure before percentile ranking.

Show Size Suggestion
Default: On

Displays the position size multiplier suggestion (0.5x, 1.0x, 1.5x) on the chart.

FAQ

Common Questions

Add Nexural QFA Volatility Meter to Your Charts

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Sage AI

Ask about pricing, features, indicators, or the STS trading system. Grounded in Nexural docs.