any good articles on the relationship between VIX and SPX. found a few. Any models out there trying to explain the relationship? I ran a simple linear regression which works relatively well (R^2 of 82%) when the spx move by more than .5% ( in absolute value, daily returns) but the regression is pathetic when the spx moves by less than .5% ( which is half the time). Thank you
that makes sense: i wouldn't expect much correlation between price and volatility if there isn't any volatility.