Know what’s the sentiment on the street today
Updated 12 hours ago
MMI is in the fear zone. It suggests that investors are fearful in the market, but the action to be taken depends on the MMI trajectory.
See all Zones
MMI changed from
44.39
35.08
NIFTY returned
0.20%
-50.35
It is a sentiment tool that describes the current mood in the market as emotions
Be fearful when others are greedy & greedy when others are fearful
Historical observation says that when the MMI reaches extreme fear zone, the market bottoms out & when the MMI reaches extreme greed zone, the market tops out
History of Nifty vs MMI View Full Image
The Market Mood Index takes into account 6 important factors to give a complete picture of emotions driving the market
This is the net open interest of FIIs in Index Futures on the NSE. Tracking movement in this indicator gives an insight into FII views about the markets.
Higher than average value suggests bullish FII views about the markets.
Read More →Volatility is measured by the India VIX index. It is the implied volatility of 1 month Nifty 50 options. Skew is calculated as the difference between implied volatilities (IV) of OTM put options and OTM call options of NIfty 50.
High VIX value suggests that market participants are expecting increased risk and volatility in the market. Volatility only tells us that the markets are expecting some movement, but doesn’t tell us anything about the direction. This is done using Skew - a higher than average value of skew represents a high chance of downward movement and vice versa.
Read More →It is the difference between 90D & 30D exponential moving averages of Nifty 50, divided by 90D moving average.
A positive value indicates an uptrend and vice versa.
Read More →It is calculated by dividing AD Ratio by AD Volume - also known as Modified Arms Index
A relative low value (<1) indicates strong market movement supported by volumes.
Read More →It is calculated by subtracting % of stocks near their 52W low from % of stocks near their 52W high to arrive at the net % of stocks near their 52W high.
Higher value indicates better price strength in the market.
Read More →It is the relative price return of Gold vs Nifty 50 for last 2 weeks.
If the return of gold is increasing relative to Nifty 50, it indicates a movement away from equities into safer commodities like Gold.
Read More →The final indicator value is calculated by giving equal weight to each of the components
Don’t take our word for it
ET NOW - Tickertape MMI (Market Mood Index) surges to highest since launch - shows extreme greed on the street
#MarketMoodIndex of the day - an indicator that identifies the emotions in the market and gets you a sense of factors at play.
For investors who are unsure of how the market sentiment looks like, use this! @TickertapeIN #theaverageinvestor
@ETNOWlive #MarketMoodIndex: Buy during extreme fear!
https://tickertape.in/market-mood-index
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MMI is a great indicator to understand overbought, oversold zones and overall market sentiments. Great tool @TickertapeIN @vasanthkamath @anugrah_shrivas
Another neat tool from @TickertapeIN
Another reason to love @TickertapeIN , Nice stuff @vasanthkamath @anugrah_shrivas
MMI is pretty cool indeed, especially the various factors it includes. Can be used even by advisors as a tool (with a pinch of salt)
There is no way to predict good entry and exit times in the market with absolute accuracy. However, MMI provides a sound starting point of indication backed by exhaustive testing. The current indication is that the market is in the Fear zone.
India VIX is a volatility index which measures market expectations of near term volatility. On the other hand, MMI is a more comprehensive indicator of market sentiment, wherein VIX is only 1 of 7 components
Individual investors can use the MMI as a tool to gauge how the overall market is currently behaving - has it gone on a buying spree and possibly headed towards a bubble, or are investors fearful of the current market environment & selling more than they do in normal conditions
MMI is a sentiment index and investors shouldn’t take buy/sell decisions, just based on the current value. But once an investor has decided to invest or close existing positions, the MMI can help them better time the market.
MMI is a sentiment tool provided for informational purposes only and should not be considered as financial advice. The MMI utilises specific parameters to gauge market sentiments, but it does not guarantee the accuracy or reliability of any investment decisions made based on its readings. Users are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.
Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.
The logic for MMI is provided by Windmill Capital Private Limited (WCPL), a SEBI-registered Research Analyst having registration number - INH200007645. WCPL is also a wholly owned subsidiary of Smallcase Technologies Pvt Ltd (parent company of Anchorage Technologies Private Limited)