How to Use Volatility Risk Metrics
This page explains how to read and interpret the Volatility Risk Metrics results. This scanner is designed to identify stocks within a selected index based on price volatility and risk characteristics, helping assess the degree of price fluctuation and potential risk exposure.
The results shown here are for Index: NIFTY 50. Each row represents one stock for one trading day, evaluated using volatility-based measures.
Understanding Each Column
Symbol
The stock symbol as listed on the exchange. Each symbol uniquely identifies a company within the index.
Date
The trading date on which the volatility metrics were calculated. All values in the row correspond to this trading session.
Close
The closing price of the stock for the given trading day.
- Represents the final traded price of the session
- Used as the reference price for volatility calculations
ATR
The Average True Range (ATR) value.
- Measures the average price movement over a specified period
- Higher ATR values indicate larger daily price swings
- Reflects absolute volatility, not direction
ATR %
The ATR expressed as a percentage of price.
- Normalises volatility across stocks with different price levels
- Higher values indicate higher relative risk
- Useful for comparing volatility between stocks
Standard Deviation (20)
The 20-period standard deviation of price.
- Measures how widely price fluctuates around its mean
- Higher values indicate greater variability and risk
- Often used as a core volatility indicator
Volatility Rank
The stock’s volatility ranking relative to other index constituents.
- Higher rank indicates higher relative volatility
- Lower rank suggests comparatively stable price behaviour
- Useful for identifying high-risk and low-risk stocks within the index
How to Read This Data Holistically
This scanner should be interpreted by assessing multiple volatility measures together rather than relying on a single indicator.
- High ATR combined with high standard deviation indicates elevated price risk
- ATR percentage allows fair comparison across different price ranges
- Volatility rank highlights relative risk within the index
What This Scanner Indicates
- Stocks with high or low price volatility
- Relative risk levels among index constituents
- Potential suitability for different risk profiles or strategies
What This Scanner Does Not Indicate
- It does not indicate price direction
- It does not predict future volatility with certainty
- It does not replace position sizing or risk management decisions
Important Notes
- Volatility tends to expand during news or market stress
- Low volatility does not imply low risk in all market conditions
- Always interpret volatility alongside trend and market context
Disclaimer: This information is provided for educational and analytical purposes only and should not be considered trading or investment advice.
Data Update Frequency
Volatility Risk Metrics data is updated after market hours for each trading day.
Summary
The Volatility Risk Metrics scanner helps identify stocks within an index based on their price variability and relative risk characteristics. It is best used to understand risk exposure, compare volatility across stocks, and support informed decision-making alongside other analytical tools.