Bad news for the stock market: The Hindenburg Omen is back
The Hindenburg Omen. Named for the German airship that met its demise in a fiery crash 80 years ago. The appearance of this technical pattern sometimes portends a stock-market crash.
Even as the S&P 500 SPX, -1.54% and the Dow Jones Industrial Average DJIA, -1.24% rose Wednesday, there were more stocks hitting 52-week lows than 52-week highs on the New York Stock Exchange — something the market hasn’t seen since July 2015, according to Jason Goepfert, president of Sundial Capital Research.
And this divergence has triggered a Hindenburg Omen on the S&P 500 for five out of the last six sessions.