Options volatility can rise in different ways. Below are few which i remain mindful of during market hours: 1) Small delta move, rise in IV. This is not dangerous because you have received the same premium in your position though momentarily MTM is negative. (1/3)
2) High delta move, rise in IV. If caught in this move then major damage happens & the loss also becomes irrecoverable. 3) High delta move, IV remains stagnant. This is very dangerous scenario as due to high index moves the adjustment cost has increased (2/3)
but because IVs didn't rise, your premium received is the same. Such scenarios manifest majorly in gap openings. Because options are affected by both delta & IVs, it becomes very important to know the behaviour them together. Clarity comes when you practice it everyday. (3/3)