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Stocks Slide On Hindenburg Omen Sighting
While there is little gained in figuring out the vacillations in equity 'markets' from one moment to the next, there appear to be three reasons being discussed for this drop in stocks. First, this is the worst month for the long bond in absolute price deterioration since Dec 2009 - for managers in balanced portfolios, there will need to be a month-end rebalancing 'into' bonds and out of stocks to ensure the weightings remain with their mandates. Second, the index rebalancing is having some effect on the equity market (though that has been well telegraphed). Third, and perhaps more important to some, based on intraday data so far, the much-discussed Hindenburg Omen has been spotted (as it also was before QE2 was announced to save the world). The last time we were this high in stocks and the Hindenburg was spotted was October 2007...
Bonds worst month since Dec 09 - sparks rebalancing...
and The Hindenburg Omen... (red bars on upper pane)... click for large version...
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A crash approaches. Quick, grab your popcorn and get comfortable for the big show.
Even with Hydrogen or Hot Air, what goes up must come down.
"But what's important here is..."
what does CNBC have to say about it?
Dow down over 200. Monday rally? Or Tuesday. Or both?
Maria B is losing it about the omen. "Never heard of it" but all her stawk trading pals are sending her concerned emails...
Thats right, just keep saying "Hindenburg Omen."
That's it. The Money Honey never heard of the Hindenburg Omen.
Off with her head.
I simply can't believe that she never heard of the Hindenburg Omen. She was just joshing right? Right?
Maria B. and Cramer are making out
... like bandits
Just a prelude to QE5. BTFD. I mean gold and silver of course.
I'm glad you qualified that...I was about ready to put my minds eye out.
BTFD
She's probably never heard of the Hindenburg either
Can I rename it the "Krugmanburg Oven"? Or the "Bernankerburg Coven"?
I knew Maria way back when. I could tell stories but I won't because I'm a gentleman. Lets just say she trusted the wrong people early on
It's OK to eat all the donuts you want, Maria.
Really?
Yes.
YAWN!!!!!! Seriously. I've got 2 words for you: Federal Reserve Want 2 more? Quantitative Easing
Pinko Commy! Move to North Korea or someplace where centrally planned everything is the law of the land!
Rally, of course!
No POMO Monday.Have to wait till Tuesday. That's really why the drop occurred today.
I can promise you a whole lot of cialis later that baby stays up
TBT to $150
I lost a load on TBT calls two years ago thinking the same thing. Never fight the Fed.
I have made $ on it playing the range of $58 to $70
Also lost a good deal on silver, but it's my own fault for being logical.
(how were you able to make $ at that range?)
Its not quite as bad if you lost it in a boating accident though.
YOU OWE ME A DRINK.
$12 happy hour in NYC fyi.
I wouldn't mind seeing UVXY at about $240 again. I've got a few December $8 calls on the pass line.
the good news is that youre not really fighting the fed buying these calls, the real fight starts when your in the moneyness is exploding :)
yes, the profit orgasm
TBT: trip top B/O @ 70 on the P&F charts. But, yes.... be careful
TBTF to $0
The last time there was a Hindenberg Omen the market went up 10% in 2 months. The time before that it went up 20% in 3 months.
Clearly that along with most other things in the "economy" and "markets" make perfect sense.
Y tambien, muchos personas get thrown through the window at times like this. Ya know... broken windows and broken bodies really are a necessity in pure global fiat systems. Pay per view global sacrifice coming soon! Aye aye aye
Viva El Luchador!
i agree. markets go parabolic...Fed throws cold water on the thing. "that's called doing your job." could interest rates rise more from here? absolutely. does this mean it's time to catch that falling knife? the knife has to fall first. "Japan opens first" and we go from there. bank runs in Europe? absolutely possible in my view. i'll be watching oil and natural gas. if those things really get hammered in price then the game is up for a major correction. the liquidity that everyone has piled into is in the commodity space...if oil drops say 40 bucks a barrel next week and natural gas starts heading back to 2 bucks...look out beeeeelow. "a little Detroit revenge."
Oh the HugeManatee!!!!
I'm planning on seeing the new "Star Trek" movie, this weekend. Popcorn already planned for. :P
Funny, I happened to be eating popcorn as I read this.. And wondering if the collapse has notably begun..
Popcorn hell... A full bottle of Hindenburg Lowenbrau sold for $5,000 on Ebay a few weeks ago... Time to crack that sucker open....
Not yet
2 points
1) havenet we been hearin this hindenburg diaorea since january? And we keep going up.
2) We have hardly seen any red days on the market in 2013....buy the dips until it hurts.
Check out this video HERE this guy is spot on, bonds crashing down like that, does not mean the market is about to crash.
Lots of money is still coming out of bonds and into the markets.
FUNDS and FUND managers still have lots of money on the sideline waiting for the next dips....but guess what, you are seeing it....so play with the smart money and close eyes and just....BTFD!
1 if by land
2 if by sea
I find it fascinating that Good News is Bad News, and that, apparently, the relevant entities, who can move marked by the sheer volume they command, got the hint on t-t-taper, while the retail muppets were left holding the bag.
Good luck next time!
balanced portfolio in one fund is actually not the worst strategy
What the funk junkie is the Hindenberg Omen?
look it up-you're on the fucking computer
But this is teh internets!
here is the site
www.google.com
type in your question and it will probably answer it....just saying.
"What the funk junkie is the Hindenberg Omen?"
It was this big gas bag looking contraption filled with hydrogen gas. It exploded.
No, that was the Hindeburg, OH MAN!
Bernanke on laughing gas.
Double Hindenberg sighting. That's pretty much like crossing the streams. The Sta-Puft Dow is toast, boyz.
It's a lolcats meme.
http://lmgtfy.com/?q=Hindenberg+Omen
You know, if you keep doing that for him, he'll never learn
LOL, Tell Maria B it's like strip pokeher. She does the strip and act as the pokeher.
Oh the humanity!
Oh the huge manatee!
Manatee,...
no matter how you cook it, it still tastes like manatee
I remember hearing that manatee were supposedly mistaken for mermaids. I guess drunk ass horny sailors like fat women with whiskers?
"I don't care who you are, now thats funny" - Larry the cable guy
Technically speaking, the tactic is to destroy all technicals.
Along with price discovery, value, etc.
With all the divergences out there I'd say they destroyed Macro also.
No stick save today? Tried and failed? Interesting week to say the least.
they shot their $6B POMO wad too early today-although they still have 25 minutes
Perhaps. . .there are a whole lotta levers they have to pull now. . .better get it right.
It's 79 and sunny in Quogue today, no one is manning the desks.
"The last time we were this high in stocks and the Hindenburg was spotted was October 2007..."
Really graspsing at straws, Tyler. How about the last time the Hindererg Omen was mentioned on Zero Hedge? Shall we just forget how that one played out?
yeah-but stocks were not at this elevated of a level.
That was a week or two back, and if you knew your ass from your elbow about Hindenburg Omens you'd know it takes SEVERAL clustered over a short time frame for their value in predictions for crashes to fully actualize.
Kindly go back to your Meat Pacifier and leave the economics to us adults, okay Shanaynay?
Ouch. Harsh.
We all need our doomer dose for the day
Some of have been ready ever since Lehman Brothers fell
Waiting for that big global financial collapse, like the ending of that prophetic 1981 film 'Rollover'
Good 6 minute clip here, funny how contemporary it seems :
http://www.youtube.com/watch?v=m1aQ-XGWors
Interesting movie clip...its all about FAITH....when they lost that it is over.....the FAITH of the dollar...or FIAT...first one out wins
reading for comprehension, Oct 2007 was when it was seen with stocks at this high a level. The last sighting was last month. One Hinderburg omen is meaningless when you start seeing more than one then you have problems. The last time they started clustering QE 2 was quickly announced.
Hindenburg Omens <ANAGRAM> Ben ends humoring.
omg hide burn ded
is one too
omg burnded hide
There will be some burned hide alright. And hair too.
I totally read that as "Ben is hemorrhaging" and it put a smile on my face.
Father, forgive me for I have had pleasurable thoughts at the expense and harsh suffering of another man in agony. But he totally deserves it.
last time hindy was spotted 2 weeks later benny launched qe2
See above theory.
Yea but it's hardly 2010 anymore and who is left to believe in QE? Kinda like 'crying wolf' I think.
I wonder, why did they really need 5 years of this shit? What was accomplished? Bunch of marching in place to get back to no answers.
does $7 trillion in govt debt count as an accomplishment? what was the question again?
I guess?
Bennie and his acolytes have taught us that debt is good. Moer debt is even better!
The filthy rich stayed filthy rich, at least to keep the party going for a little while longer. It must have been one hell of a party, too bad I never got an invite.
Marching keeps the troops distracted.
lots of muppet fur sweaters?
they bought 5 years of time, several billion bullets, and a few thousand domestic MRAPs... Next question?
Us marching in place getting nothing and nowhere while they set themselves up to live like kings in the coming New Dark Age.
I'd say they feel it was 5 years very well spent.
Can anyone explain the rationale behind the Hindenburg Omen? I dont understand how it indicates a coming crash. Google tells me that its right more than its wrong but I dont understand how long term technical analysis patterns mean much in a manipulated market. It seems like the greater political environment is more significant.
The bottom is dropping out on a lot of shit.
PTTRX takes it in the nut sack for May
http://www.bloomberg.com/news/2013-05-31/gross-s-pimco-total-return-fund-falls-1-9-in-may.html
http://www.investopedia.com/terms/h/hindenburgomen.asp
Hindenberg Omen April 15th:
http://stockcharts.com/h-sc/ui?s=$NYMO&p=D&yr=0&mn=4&dy=0&id=p29597489169&listNum=3&a=206393991
Chart is dated May 30, so you would have to wait until after the close to verify when indeces are given their value. Normally for any asset stockcharts.com updates real time, but not for indeces.
(requires membership to stockcharts.com)
Robotrader?
Here's the blog post:
http://blogs.stockcharts.com/dont_ignore_this_chart/2013/04/hindenburg-omen-triggers-as-new-lows-surge-.html?st=hindenburg+omen
It's always later than you think.
Thank god I have no kids. When the mathematically certain shit hits by 2020-2030 MAX, I don't want to have to take care of another mouth. Will be bad enough for those that make it. Those that survive, will be the "men of old, men of renown"... history/mythos repeat themselves, we have been here before...
Long range sensors tell me the shit is closer to the fan than 7-17 years from now. Another 7 years of steak and cabernet would be OK with me though I guess.
The Underground Gay Resistance Movement is alive and well. Let me tell you. I saw some at the Army Surplus store the other day dressed in camo. They are preparing for something 'big.'
you and me both. I don't understand people having 3 and 4 kids thinking all of this is just going to glide along smoothly. They have no ide the nightmare they are going to see live and in person when all of this collapses - and what those kids are going to see right along with them. Scary stuff......
By 2020 - 2030 your kids would be old enough to fight the revolution.
You could have taught them and trained them as revolutionary fighters carrying your wisdom and ideas to the next generation.
Now you've got nothing.
Now now don't be mean. Not that I disagree; I expect my son to man one of the loupe holes with a rifle, when the day comes.
Correct... the HO actually went off at noon Eastern. If anyone is interested in the exact skinny on the HO, here's my article published minutes thereafter, complete with a rant based on the insanity the bankers are exhibiting. The snake is eating it's own tail:
http://albertarocks-ta-discussions.blogspot.ca/2013/05/hindenburg-omen-g...
oh goodie. i like snake. and tail.
(repost)
"It is theoretically possible for those with unlimited financial resources and minimally regulated automated trading systems to keep the omen from triggering. This has been postulated by the creator of the "Vergulde Draeck" Omen."
Looks more like a double duck's ass to me - an inphallible technical predictor
hindenburgers
for everybody ...
I will gladly pay you Tuesday for a Hindenburger today.
there is an antidote to this, according to wikipedia:
"It is theoretically possible for those with unlimited financial resources and minimally regulated automated trading systems to keep the omen from triggering. This has been postulated by the creator of the "Vergulde Draeck" Omen."
a la QE to infinity
Yes, it requires unlimited resources to keep the "omen" from triggering, like it requires poking out your own eyeballs to avoid seeing your own pimples in the mirror. The world grows more disturbed, moment by moment.
If I had my choice of stuff like that I'd get the fuzz on my nutsack fluffed.
Funny, It was seen two other times in the past 4 years, but The Bernack pushed the PRINT button again, and again and again!!!! Vanish, hindenburg up in flames........
At this point, price signals are basically meaningless, everything is flooded in the tide of central bank printer ink.
Too many squiggly lines...hurts my astigmatism.
Monday will be another BTFD day..
Rebalance? Yes, buy cheaper bonds and sell rich stocks. That's it! Per CNBS, nothing to worry about. Thanks MSCI! What BS!
So what's with the PM donkey punch today? Leveraged asshole hedgies dumping contracts to cover their cornholing on the ticker today? Or is it the usual fucktard suspects?
commodities are the bubble...that's what deflating. this has been true for some time. there is so much inflation trading complacency "it's time to shake out the weak hands" and THERE ARE MANY. first and foremost are the "peak oil people." right behind them are the Junk Bond Tycoons. And the next "duck in the row" are long levered equity traders. you can't have the speculators running the economy or your financial system. the Fed has just given all them a wake up call...now we'll see what the result is. the OECD has already dropped their growth prospects so that strikes me a a big deal. but hey...why not go full on lunatic fringe instead right?
Frankly, it's more than the right time for that big balloon overhead to POP!
No rebalancing into gold I guess......and can we please stop with the "gold liquidation" story to cover stock losses. Since all of the hedge funds are now short gold, I don't see how they can liquidate gold to cover losses.
stateside
Have a great weekend everyone. Nice way to finish off the week.
Ben and Barry have this thing floored.
Have doubts about Hindy.
If the market falls any significant amount, it will bounce back fast than a fat kid moving on a chocolate bar.
Oops - we're talking algos speed here - faster than Michael Moore moving on chocolate bar - there, fixed it.
Two down weeks in a row? I'm out. Rally over.
But wait, do they have enough Mom and Pop money back into equities to really crash this sucker again?
Mom and pop are already outpriced
Here are the candidates for being a valuable member of the suckerdom:
- 1 or 2 primary dealers
- 5 or 6 pension funds and insurance funds (fonzanoon's idea)
- Few tens of hedge funds
They should just rename them Bongs - if that wouldn't send the market to an all time high, I don't know what would...
What a beautiful close that was ...
ruh-roh pattern also possible
Oh oh!!
Anybody see any news on AEM? I find nothing. Cannot believe that stock. Look at the volume and gold down 25 bucks.
Maria "G6" Bartiromo quizically asking/joking about the "Hindenburg Omen".
"I've been doing this for 20 years and I've never heard of it!?!?" (guffaw, eye roll).
Well Maria, when you have your eyes and ears and mind closed these kinds of things happen.
Her mind quite likely has been closed, but her eyes and ears - as well as her mouth - likely had cocks in them, thus keeping her from hearing or reading about the Hindenburg Omen for 20 years.
She might have been one of those chicks who got through college by being under the prof's desk more often than sitting in her own.
Oh the humanity!
I am up arrowing you for your Ed Mcmahon avatar....classy!
You need a couple more confirmations in the next two weeks for it to mean anything real. Stay tuned. Monday may be such a day.
Kevin? You there, Kevin?
Yeah, Kevin. We need to talk about Kevin.
"Balloons, balloons, balloons make me happy"
Alternatively: "Up, up and away in my beautiful, my beautiful balloon"
Omen vs Benny, round III.
Altough whether Benny would want to remind the word that T Notes are it when it comes to 'safety' (sarc.) vs. pumping S&P up, remains the open question.
Kevin is in some deep shit now for leaving work early. Better just quit and stay at the beach dude.
Or maybe it's the Von Hindenburg omen. Big fat guy with a spikey helmet. Lost a war. Millions died. Continents destroyed. Followed shortly by the Weimar Republic and its magnificent printing machine.
Or maybe its just that big bag of exploding gas after all.
Yawn. Yet another 'narrative'.
Monopoly; NEM also made a late-day run. VERY interesting with the POG down so hard, for the miners to make that move. Maybe someone is anticipating a run to the most undervalued, maybe the only undervalued sector in the market right now.
I'm going to start counting each time people 'round here start saying "here it comes!" when there's an occasional drop in stocks.
One.
Yeah because stocks have every right to be as high as they are considering all the great fundamentals in the economy today.