Buy Weakness Like a Pro; Despised Tech Names Rally: Jim Cramer’s View

Here are Jim Cramer’s top thoughts on some of the biggest stories of the week.

Cramer: Despised Tech Names Are Rallying

The most hated stocks in the universe, sans Amazon ( AMZN) , are rallying Friday and you have to ask yourself, if it is the end of the world how is it possible that the tech stocks that led us down are now rallying, especially the now-despised Alphabet ( GOOGL) ?

I think that if you haven’t bought your first tranche of what you have been looking at — we have done our buying — you have to do it now and then hold off until closer to the end of the day.

That dip held and while I still expect the bears to come out once again — time to call Gartman perhaps? — the selloff that really started with Alphabet on Monday night is coursing through.

Couple of notables: the rails are stabilizing, the oils are holding in and Netflix (NFLX) is back.

But the one thing that isn’t yet back are the semi capital equipment stocks, notably Lam (LRCX) and that’s because of a sense that there’s too much flash building in the system.

I don’t know if that’s the case. See our note on Western Digital (WDC) for Action Alerts Plus.

That stock, however, does hold the key because it was a monster quarter. That plus Intel (INTC) , need to turn around to get a solid tech rally.

Away from tech I expect some of the industrials to come back now that Boeing (BA) is again in the plus column. We are buying one right now for AAP.

We just put out a note on the extremely suboptimal situation at Starbucks (SBUX) , which is the other source of turmoil.

Suffice it to say there are better fish to fry.

Originally published July 28 at 2:37 p.m. EST.

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