India VIX - 10 things to know with detail
- 1. India VIX, or the India Volatility Index, is a measure of the market's expectation of volatility over the next 30 calendar days.
- 2. It is calculated based on the order book of NIFTY options contracts.
- 3. India VIX is often referred to as the "fear gauge" as it reflects the level of uncertainty or fear in the market.
- 4. A higher India VIX value indicates higher expected volatility and uncertainty in the market, while a lower value indicates lower expected volatility.
- 5. India VIX is used by traders and investors to gauge the level of risk in the market and make informed decisions about their trading strategies.
- 6. India VIX is influenced by various factors such as geopolitical events, economic data releases, corporate earnings announcements, and market sentiment.
- 7. India VIX is not directly tradable, but it can be used as a benchmark for volatility-related trading strategies such as options trading.
- 8. India VIX is closely watched by market participants, regulators, and policymakers to monitor market risk and stability.
- 9. India VIX is calculated and published by the National Stock Exchange (NSE) on a daily basis.
- 10. Traders and investors should pay attention to India VIX as it can provide valuable insights into market sentiment and help in managing risk in their portfolios.