I am analyzing the volatility of financial stock returns and let's say I have a pretty good model to forecast tomorrows volatility of the stock returns. So let's say for simplicity reasons I have a GARCH(1,1). With this model I forecasted the volatility tomorrow and I now want to trade on it. The volatility tells me how much the stock returns and therefore the stock itself will "change"/fluctuate. If I have the volatility and if I am pretty sure about the probability of my correctness, how should I trade this? Should I e.g. invest in a straddle? And if yes, how should I determine the optimal options/ options conditions I should use?
EDIT: So my basic question is: I have the value for the volatility forecast and I know that there are certain option-combinations to trade on high and low volatility, but how can I connect these strategies to my forecasted value, to my real value I calculated?