As the VIX has fallen to multi-year lows over the past several trading sessions, the S&P 500 continues to trade in a very narrow daily range. The average daily (absolute value) change in the S&P 500 is nearing lows of its own at +/- 0.55%.
Although the VIX is supposed to be a forward looking indicator, it is highly correlated with recent history. It rises and falls in lockstep with what has happened over the previous 30 days.
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