https://gdpark.blog/tags/newton-raphson/Recent content in Newton-Raphson on gdpark.blogHugoenMon, 12 Dec 2016 00:00:00 +0000https://gdpark.blog/posts/financial-engineering-13-implied-volatility/Fri, 09 Dec 2016 00:00:00 +0000https://gdpark.blog/posts/financial-engineering-13-implied-volatility/Flip the BS formula backwards — plug in the real market price, leave σ blank, and whatever volatility makes it work? That’s implied volatility, baby.https://gdpark.blog/posts/financial-engineering-15-newton-raphson-method/Mon, 12 Dec 2016 00:00:00 +0000https://gdpark.blog/posts/financial-engineering-15-newton-raphson-method/We ditch bisection and let Newton-Raphson chase down implied volatility by hopping along tangent lines until it zeros in on the answer.