The India VIX (Volatility Index) is an important measure in the Indian stock market that quantifies the expected market volatility over the next 30 calendar days.  

The India VIX, often referred to as the “fear gauge,” is a volatility index based on the Nifty 50 index options. It reflects the market’s expectation of volatility in the near term.

It is computed using the order book of Nifty options. The calculation involves the best bid-ask quotes for out-of-the-money, near- and mid-month Nifty option contracts. 

 Investors use the VIX to gauge market risk. A higher VIX implies more significant market risks, prompting investors to adopt more conservative investment strategies.

Some traders use VIX spikes as signals for potential market bottoms, as high volatility often coincides with market sell-offs.

This research serves educational and informational purposes only. It is not to be considered as a portfolio management service, basket recommendation, or investment advisory. Investment in securities market are subject to market risks. Read all the related documents carefully before investing.