After months of watching the oil stocks underperform crude, the broader Canadian $TSX was able to withstand some of the selling. Now the breadth of the market has shrunk considerably. All market breadth measures are weak.
The chart below shows the Bullish Percent Index ($BPTSE). This measures the number of stocks on a buy signal. The blue vertical lines on the chart show when the $BPTSE breaks below the 40 Week Moving Average shown in green from a really high level. The correction is usually considerable. This correction has just started.