Paul von Hindenburg, President of Germany, 1925-1934
Dow is going below 10 by Wed.
Not sure what the Hindenburg Omen is, but it sounds ominous!
Considering the publicity this thing is getting, if it was any count, everybody would have gotten out by now and the crash would have already occurred.
ping
Dang. How do blind people interface with a computer? Braille keyboard, OK, that’s part of it. But still...
Just did a quick check. I’ve got 2.6% of my assets in the stock market. I’ll hang on and brave the Hindenburg thingie.
One “caveat emptor” here is how widely advertised this particular Hindenburg Omen signal has become. When such signals get shouted from the roottops, they tend to either not work, or be delayed until the crowd has forgotten about them.
ping
DUM DE DUM DUM
DUM DE DUM DUM
DUM DE DUM DUM DUM!
I took this seriously when the 0bama administration admitted last week that the Economy was Lost.
Now we’re just waiting....
Today’s investment tip: Food, guns and ammo!
Yield!
It's a zombie now, reanimated by voodoo fiat debt.
It can go feral and eat everyone's flesh at any moment.
Ping
With or without this indicator, the market has been giving off signals and patterns that show that there has been a contest between the bull and bear positions since, oh, May in the market. The “flash crash” caught a lot of people, including pro’s, by surprise. Now an increasing number of people (including pro’s) do not trust the market, and there is little, if any, conviction for a major move in either direction at this point.
That’s where this indicator (the HO) comes in and shows that the limp volume, coupled with advancing indexes and deterioration under the indexes, is a sign to get out. Well, no duh. About 50% of the volume in the market is concentrated into about only 99 issues thanks to HFT, and with cap-weighted indexes, they’re gaming the indexes while the broader market is deteriorating.
Now we come to the seasonal issue: We’re coming out of August, a very lackluster summer market into the most notorious month of the year for the market, September. Still, we don’t need the “HO” indicator to get worried. People who have been around the markets long enough know that while the popular press likes to talk up the fantastic crashes that have occurred in Octobers past, it is September that can really maul your account in years where there is no fantastic crash.
HO or no HO, I’d be quite cautious going into September this year.