India Vix Climbs As IAF Bombs Terrorist Hideouts
Nifty closed on the edge at 10822 today after it opened 103 points gap down in the morning. Border tensions pushed India Vix to a high of 18.10 as the IAF launched massive air raids on Pakistan in the early hours of Tuesday. The index opened near today’s downside target of 10800 approx and scaled down to 10725, due to the sudden rise in volatility. Although Nifty has recovered 169 points from the day low and made a high of 10893, former IAF veterans cautioned that if Pakistan retaliates, it would be an act of war. In the event of an escalation, today’s high of 10894 might act as a crucial zone of resistance.
Nifty was hit by increased volatility in today’s session as the IAF engaged terrorist hideouts in Pakistan. The index made a low of 10725 and pushed India Vix to a high of 18.10 approx. In the second half, Nifty registered a high of 10894, however, the index slipped more than 70 points from the day’s high and closed at 10822 approx. Going forward, the index is likely to face stiff resistance around tomorrow’s range high. If Nifty trades below tomorrow’s range low, it might scale down to 10693 approx.
Observations In The Hourly Timeframe
In the hourly session, Spot Nifty has closed around 10835 approx. The index is likely to find resistance around tomorrow’s hourly range high. The nearest downside target for the index is around 10800 approx. If Nifty trades below, tomorrow’s hourly range low, it is likely to roll down to 10742 approx.
Bank Nifty Options Data