Insightful analysis and commentary for the US and global equity investor
Contributors: Douglas McIntyre Jon C. Ogg

Previous Posts

Tuesday, October 17, 2006

Cramer on STOP TRADING:

On today's STOP TRADING segment on CNBC around 2:45 PM EST, Jim Cramer said he is worried that there are not enough short sellers in the market.

He said you get 1 or 2 down days on options expiration week. He said there are no shorts underneath it, so you get very little short covering and therefore no implied easy floor under the market. He doesn't think a 100 or 200 point down day on DJIA would be that much, but there aren't the implied short cover buyers there. He said this is part of the mechanics he discussed last night.

He likes the market long-term, he thinks P/E's are low, but Cramer won't make a market call for the DJIA to go to X by X date.

On the big exchange deal announced today, Cramer said (again) that the NYSE (NYX) is the best; they have $10 earnings power stock and the $75 stock could be a $100 stock.

Jon C. Ogg
October 17, 2006
 Subscribe

Powered by Blogger