AAII submits:
A bubble may be forming in bearish indicators. A sign of just how much attention pessimistic prognosticators are getting occurred last week when my mother asked me about the Hindenburg Omen. This is an arcane indicator that uses technical analysis criteria to try to predict a forthcoming market crash.
Like many forecasting tools, the accuracy of the Hindenburg Omen is questionable. Market timing is far more difficult than it seems. A combination of luck and historical trends can translate into one or two correct market calls and make a market timing system seem better than it actually is. This could be the case over the next few weeks if September lives up to its reputation.