Comment on Trading India VIX - Simplified

Rajat commented on 18 Jul 2014, 02:11 AM

Hi,I want to know that the implied volatility which is used in calculating price of nifty options is same as this VIX?
Current(17/7/14) India VIX is 14.97% and today closing price of nifty 7700 call is 54 while nifty spot is at 7640.When i use the implied volatility as 14.97% in calculating option price than 7700 call price comes as 72.And when i calculate implied volatility putting 7700 call option price as 54 than it comes as 11.4%.Rate of interest i use is 10%.
I generally write nifty options so this factor to be exact is very much important for me.Please help

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