Stocks Suffer Mini Flash Crash Just As 4th Hindenburg Omen Spotted

With someone desperate to sell 6,100 S&P 500 e-mini contracts in 1 second at 12:20:05, US stocks market indices hit a mini-flash-crash air-pocket as the 4th Hindenburg Omen signal flashed in the last 5 days... paging Waddell & Reed... We await the next Fed speaker to save stocks in a v-shaped recovery.


Because - fun-durr-mentals


ES tumbled (wait for the v-shaped recovery)


With a rapid plunge...


Pretty agressive at the lows...


As the minis went so the entire US market got smacked...


As The 4th Hindenburg Omen signal was spotted...


As a reminder, the Hindenburg Omen is a trend and internals indicator:

In order for the Hindenburg Omen to hold true, says Tom McClellan, three events must occur in the same day:

  • The number of new 52-week highs and 52-week lows are greater than 2.8 percent of the advances and declines in the New York Stock Exchange.
  • The NYSE Composite Index is above the level it was 50 trading days ago.
  • The McClellan Oscillator (an indicator of whether a market is overbought or oversold) is below zero.

“If you get all of these events on the same day then we have this Hindenburg Omen. It’s good for 30 days, but it gets invalidated anytime the McClellan Oscillator goes back positive,” McClellan added.