THE 2-MINUTE RULE FOR PNL

When you hedge every moment, you wouldn't realize the entire pnl on the greater SD moves but you do seize the total pnl from the lesser intraday moves. Conversely, if You simply hedge once on a daily basis, you will not notice the total pnl from the more compact intraday moves (like within your illustration) but you'd in return know the total pnl w