India VIX: Now VIX is about to cross the level of 25, what is its connection with June 4, know everything
India VIX is about to cross the level of 25 and experts have predicted that it will cross the level of 30 right before the result of General Election on 4th June. This increasement in volatility is basically due to lack of surety among the Indian public regarding the election. Market is expected to be unstable even after election is conducted but the VIX will be lowered. Both investors and traders are careful of this “unpredictable” situation.
India VIX or India Volatility Index measures the expected market volatility over the next 30 days in the Nifty50 Index. A higher VIX indicates higher volatility which denotes significant fluctuation in the market whereas a lower VIX index depicts lower volatility which suggests a more stable market condition where only smaller fluctuations are expected. It is quite critical index as it depicts the upcoming fluctuations in the market over the period of next 30 days. It may be both upwards and downwards in the upcoming month.
Thus, it is an essential index for both investors as well as traders so that they can know the expected risks and market sentiments.