there are a lot of 'technical indicators' available which profess to predict US stock market moves. One that has been very 'popular' of late is called the Hindenberg Omen ...
IMHO no 'technical indicator' should be trusted as being 100% accurate. However, the Hindenberg Omen does have a 100% track record of predicting serious market pullbacks back to the 1980's. We have also now had three Hindenberg Omen's in a row during the month of June, the latest on the 17th, which is very rare ...
Answers.com sums up the Hindenberg Omen situation rather concisely ...
(snip)"Conclusions
The probability of a move greater than 5% to the downside after a confirmed Hindenburg Omen within the next 41 days after its occurrence is 77%, the probability of a panic sellout is 41% and the probability of a major stock market crash is 25%. The occurrence of a confirmed Hindenburg Omen does not necessarily mean that the stock market will go down, although every NYSE crash since 1985 has been preceded by a Hindenberg Omen."(snip)
based on Hindenberg Omen theory, the US stock market declines of the past week may NOT be the end of this 'readjustment', and there are another 30 days or so to run in the current Hindenburg Omen high risk period.



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