Hindenburg Omen: Market Indicator Tripped for 2nd Time This Month

Repent, the end is near. At least it might be if you believe in the accuracy of the Hindenburg Omen.

The Hindenburg Omen is a technical market indicator that uses various pieces of data to “predict” a crash in the stock market. It was tripped again on Friday for the second time since August 12. In fact, it also came close to tripping on Thursday but fell short by one piece of data.

The Hindenburg Omen is named after the infamous disaster of May 6, 1937, during which the German zeppelin Hindenburg was destroyed.

This latest event has forced Omen’s creator, Jim Miekka, to get out of the stock market.

“I’m taking it seriously and I’m fully out of the market now,” said Miekka, who is a blind mathematician. “I would’ve probably stayed in until the beginning of September. That was my basic plan, until the Hindenburg came along.”

In case you were wondering, the Omen has preceded every stock market crash since 1987. Major, overall stock-market drops have only occurred about 25 percent of the time following an Omen, however, so there is a chance that this latest Omen could represent much ado about nothing.