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Hi all. I'm trying to find a formula that will calculate the probability distribution of a stock price after X days, using the assumption that the price change follows a normal distribution. In the spreadsheet, you can see the simulation I've made of the probability distribution of the price of a stock that is initially at $100 after 252 days (1 trading year, using the assumption that the price moves with an SD of 3.5% per day)
Can someone please direct me to the simplified formula I can use to calculate this? I'm certain this has been done before.
Thanks!
Link: https://docs.google.com/spreadsheets/d/1beooSijC0OJ4uBfC_a-dxveeplFmfTBTiy4QoIhbC28/edit?usp=sharing
Can someone please direct me to the simplified formula I can use to calculate this? I'm certain this has been done before.
Thanks!
Link: https://docs.google.com/spreadsheets/d/1beooSijC0OJ4uBfC_a-dxveeplFmfTBTiy4QoIhbC28/edit?usp=sharing