Not only did we just have a second, and far more solid Hindenburg Omen confirmation today, with 82 new highs, and 94 new lows, but the Saturday is the day when Iran launches its nuclear reactor, and everyone will be very jumpy regarding any piece of news out of the middle east.
As for the Hindenburg Omen, the more validations we receive, the greater the confusion in the market, and the greater the possibility for a melt down (or up, as the case may be now that the market is unlike what it has ever been in the past).
Furthermore, with implied correlation at record levels (JCJ at around 78), any potential crash will be like never before, as virtually all stocks now go up or down as one, more so than ever before.
Vodpod videos no longer available.
Related by the Econotwist:
Related articles by Zemanta
- Oh The Huge Manatee! (Hindenburg Omen) (market-ticker.org)
- Creator of market indicator says crash is coming (thestar.com)
- What?s This About a Hindenburg Omen? (blogs.forbes.com)