The NIFVIX Jiseki

There is one big advantage of buying something from the worst rankings. The worst performer is generally very suppressed in value.  We talked about rise in Volatility from the start of the year. Even our annual outlook suggested that NIFVIX is one of the top potential outperforming asset. In barely two months, the index has shot up 50% from sub 20 values. We have illustrated here the Jiseki cycles of the volatility index. All of the three minor red, intermediate blue and primary grey performance cycles are positive and are mapped to the left hand side (LHS) percentile scale from 0-100%. The Jiseki cycles suggest that the index has more upside and there is more volatility and fear still ahead. Now one may technically call it rounding bottom or reverse head and shoulder formation or start of an extending third leg, when the seasonality turns up the asset performance should follow.  A rise in 50% is the base effect  and might shoot NIFVIX up in rankings, it’s too early to expect volatility to reverse back lower.

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Coverage India: CNX100 traded stocks and Indian Indices.