Loading ...HINDENBURGS GALORE — Omens For The Nasdaq As Technical Signal Proliferates
A technical sell signal for the Nasdaq has hit levels not seen since the tech bubble.
However, it should be taken in the context of a still supportive economic backdrop, with buoyant excess liquidity and low near-term recession risk.
The Hindenburg Omen compares the percentage of stocks in a stock index making new 52-week lows versus 52-week highs.
For the Nasdaq, more omens have triggered so far this year than in any calendar year since the 2000 tech-driven top.
https://www.zerohedge.com/markets/omens-nasdaq-technical-signal-proliferates
Sir Kewl2,
I occasionally get free updates from Robert McHugh’s newsletter, and he talks a lot about Hindenburg Omens.
I have heard that they were used a lot in the past, but in today’s (more) manipulated markets, they may have lost some significance … e.g. the Fed put.
On a somewhat related note, this seems to be a good time to start nibbling at some oversold EM ETF tickers. Do the Tenters track any such EM funds/tickers/ETFs?
https://twitter.com/MichaelAArouet/status/1780126974146400365/photo/1
Thanks,
GL
The “omen” used to be the signal itself.
But it has always had SO MANY false warnings, that it appears some now COUNT the number of omens to constitute the signal.
SPX from 2012 article
https://www.investing.com/analysis/confirmed-hindenburg-omen-130563