With few exceptions, the Bullish Percent Indicators or Point and Figure (PnF) graphs underscore what everyone already knows – this is a weak stock market.
BPI Indexes: All major indexes are under control of the defensive teams. Of particular significance is the move by the NYSE and NASDAQ as this indicates Large-Cap Stocks are also showing weakness. We are still not seeing any oversold indicators as no index is approaching the 30% mark.
BPI Sectors: There always seems to be at least one outlier and this week we have one to the upside and one to the downside. Staples is the odd ball to the upside and has been strong for several weeks. The big surprise is the huge drop in Energy as this sector moved to an all-time low of 7.5% bullish stocks. I’ve never seen any sector this low since I started maintaining this data. I will likely look at Energy (VDE) as a potential bottom fishing opportunity.