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BREAKING: One of the Biggest Stock Market Crash Indicators Since 2008

This is a syndicated repost published with the permission of Money Morning - We Make Investing Profitable. To view original, click here. Opinions herein are not those of the Wall Street Examiner or Lee Adler. Reposting does not imply endorsement. The information presented is for educational or entertainment purposes and is not individual investment advice.

We just received one of the biggest stock market crash indicators we’ve seen since the 2008 financial crisis.

A Bank of America Merrill Lynch note today shows the bank’s clients sold more than $4.1 billion in U.S. stocks last week. That’s the largest amount in any week since January 2008, according to analyst Jill Carey Hall.

And as this chart shows, most of that selling pressure came from institutional clients:

stock market crash chart

“After three weeks of net buying, institutional clients’ net sales last week were the largest in our data history,” Hall wrote in the note. Hedge funds were net sellers for the ninth consecutive week, while private clients bought stocks last week following the previous week’s net sales.”

Healthcare and financial stocks saw the most selling pressure, according to the bank.

Today’s news comes at a time when the broader markets are soaring. The Dow Jones Industrial Average set a record high of 18,351.36 in May and is up 1.7% in 2015. The NasdaqComposite hit its own record high of 5,163.42 yesterday morning.

That has many worrying that a stock market correction – or even worse, a stock market crash – is on the way.

Here’s how you can protect yourself in the case of a stock market crash or correction…

How to Protect Yourself from a Stock Market Crash

Money Morning Capital Wave Strategist Shah Gilani has developed a three-step strategy for profiting during a stock market crash. Instead of panicking and fleeing the markets, he turns the dipping markets in his favor.

Gilani is one of the world’s foremost experts on the credit crisis. He not only called for the implosion of the U.S. financial markets in 2008, he also predicted the historic rebound that began in March 2009.

Read the rest of the post BREAKING: One of the Biggest Stock Market Crash Indicators Since 2008 appeared first on Money Morning. Reposted with permission.

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