The Hindenburg Omen — Omen-ous or Not?

On Aug. 12, volatile market action coincided with a technical signal called the Hindenburg Omen, whereby a relatively high number of new highs and lows in individual stocks occur at the same time.

This indicator instantly gained an enormous amount of media attention. So we sat down with Steve Hochberg, EWI’s chief market analyst and close colleague of Robert Prechter, to ask him about the now-infamous Hindenburg Omen.

EWI: Steve, recently a market indicator called the Hindenburg Omen has been in the news, what is going on?

Steve Hochberg: Discussion of this indicator certainly has been everywhere. Someone emailed us and said they even saw it mentioned on the front page of the Drudge Report! L

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GOLD see upside steadily

GOLD spot 

we has done well of every week this month in trading gold.

long

entry 1227stop loss 1210target 1250

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DAX, ASX, DOW JONE, FTSE are signaling JPY strength

august 20, 2010friday5.45gmt

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Now  FTSE,  DOW JONE, Nikkei,  DAX , ASX   ,which are major stock indexes , are sending  signal of JPY become strong.

Those stock indexes are pointing to  lower sharply very soon , may be today or early of next week.

Then we will see  XYZJPY will go down more , [xyz = USD, AUD, EUR, GBP]

Now AUD is so underpressured ,  you see GBPAUD, EURAUD, AUDSGD, AUDCHF, AUDUSD, AUDJPY.All bring to the summary that  AUD  is the weakest of major FX.

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GOLD, AUDUSD, EURUSD directions

By summary  ,   GOLD, soybean, corn  are strong against   USD,

BUT    XYZUSD  [XYZ =  eur, gbp, aud]  are waiting  for a while to see early of next week, then see real trend for next  month.

*************GOLD spot

yesterday, silver  chart built bullish pattern. Therefore, it is supporting  gold bullish too.

I expect gold will go up to 1237, then 1250if it can break out 1275-1280

Long

entry  1225stop loss 1195Upside targets : 1237, 1250 , 1258   , then 1270

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