High-Frequency Interactions Between Market Volatility and Price Movements: Intraday Asymmetry Between India Vix and Nifty 50 Through Technical Lenses

This paper examines the intraday relationship between the Nifty 50 index and the India Volatility Index (India VIX) over a five-day trading period from 13th to 17th October 2025, using 15-minute OHLC data. Employing an integrated framework that combines technical candlestick analysis and statistical modelling, the study explores short-horizon volatility dynamics, sentiment behaviour, and market efficiency within the Indian equity market. The candlestick analysis reveals recurring reversal and continuation patterns—such as hammers, marubozu, and engulfing formations—closely associated with shifts in implied volatility. Regression and VAR results confirm a significant negative contemporaneous relationship between Nifty returns and VIX changes, with volatility responding almost instantaneously to price shocks. Evidence of asymmetric volatility behaviour demonstrates that India VIX reacts more sharply to market declines than to rallies, reflecting investor loss aversion. The findings validate the predictive value of traditional technical patterns in high-frequency contexts and underscore the role of India VIX as an effective intraday sentiment indicator. This research contributes to the literature on market microstructure and behavioural finance by linking visual market signals with econometric evidence in an emerging market setting.