Decoding Monte Carlo Simulations

Wall Street has used Monte Carlo simulations for decades, but retail investors have largely been left out of the loop. Trade IQ changes that by bringing institutional-grade probability modeling to your fingertips.

Probability over Prediction

A single price target is a guess. A probability distribution is a strategy. By running 10,000 simulations against thousands of historical market regimes similar to today's conditions, we can show you the "Cone of Uncertainty" for any stock over your specific time horizon.

Visualizing Risk

This helps you understand the tail-risks. If a stock has a 5% chance of dropping 40%, you might size your position differently than if the maximum simulated drawdown was only 10%. Monte Carlo simulations remove the bias of "hoping" for a target and replace it with the reality of possible outcomes.