My proprietary Canadian Cannabis Company Index (MCCCI) decreased by 1.9% compared to the prior week when it decreased by 5.8%. The index consists of 23 stocks, many of which are among the most widely held holdings of the 3 ETFs ( MJ, CNBS, and THCX) that I consider to be a reliable barometer of the Canadian cannabis sector.

MCCCI's differentiated business model is both weighted and market capitalization based because I believe that this approach best represents the current landscape of the Canadian cannabis sector.

Image by Herbal Hemp from Pixabay

The Good

There were no stocks that increased by more than 10%, which is my metric for inclusion in this category.

The Bad

There was 1 stock that decreased by more than 10% (but less than 20%) which is my metric for inclusion in this category: MEDIF -11.4%. MediPharm Labs Corp. has been a serial underperformer during 2021 and I do not see any signs that the company can turn things around within the foreseeable future.

The Ugly

There were no stocks that decreased by 20% or more, which is my metric for inclusion in this category:

Recap

There was a decrease of 2.4% in the “Big Four” (none of which increased) compared to the prior week when there was a decrease of 9.8%. The relative strength index decreased by 8.1% compared to the prior week when there was no change. The recent weakness is this broader-based metric is concerning and perhaps a prelude to things to come. Let us see how this volatile sector has performed at the same time next week, shall we? Disclaimer: The information provided in this article is for general informational purposes only.