Hi friends,
I am starting this thread to discuss about the volatility in our market.
I am trading regularly for almost a year now, but I noticed that in last one year Nifty has not moved beyond 3% or thereabout in a day.
But when I am watching the Historical charts of our markets, I saw that there are so many circuit days in the past. In between 2007-2010, 5%-8% moves in Nifty were a norm, but why we are not getting that type of volatility now.
Also I want to raise a point, what I noticed is US Indices don't move as much as our Indices. 2% change in DOW is very rare now, but whereas Nifty moves 2%-2.5% easily and we are getting these types of moves frequently also. So US markets has even much lower volatility than our markets. Again if we look at the PIIGS indices, then 5%, 6%, 8% move comes to their markets daily.
Yesterday I was reading an article that more the developed market it is, lesser the volatility. How true it is? And why extreme volatility has decreased from out markets, Let's discuss on this topic. All are welcome to jot down your thoughts and contribute to this thread.
I am starting this thread to discuss about the volatility in our market.
I am trading regularly for almost a year now, but I noticed that in last one year Nifty has not moved beyond 3% or thereabout in a day.
But when I am watching the Historical charts of our markets, I saw that there are so many circuit days in the past. In between 2007-2010, 5%-8% moves in Nifty were a norm, but why we are not getting that type of volatility now.
Also I want to raise a point, what I noticed is US Indices don't move as much as our Indices. 2% change in DOW is very rare now, but whereas Nifty moves 2%-2.5% easily and we are getting these types of moves frequently also. So US markets has even much lower volatility than our markets. Again if we look at the PIIGS indices, then 5%, 6%, 8% move comes to their markets daily.
Yesterday I was reading an article that more the developed market it is, lesser the volatility. How true it is? And why extreme volatility has decreased from out markets, Let's discuss on this topic. All are welcome to jot down your thoughts and contribute to this thread.