Below is a chart that illustrates what is being referred to. Notice how the CDNX is now in oversold territory and approaching the major support level of 2400...again. One encouraging sign is the positive divergence that has formed over the last year between the index and the MACD.

I agree that the relatively severe depreciation of the CDNX over the past few days is overdue for a reversal.

Kudlow is calling for a bottom in the DOW, but a more likely bottom is what has been forming with the CDNX over the past 2 years.