Get Your Housing Sector Index Calls

Does anyone think the Philadelphia Housing Sector Index (HGX) isn't breaking out? Does anyone think that the housing stocks are acting "badly?"

Yet here is a rally no one is talking about that seems to be worthy of some note, if only to try to figure out the winners, the ones that have the best balance sheets -- KB Home (KBH - commentary - Cramer's Take) and Toll (TOL - commentary - Cramer's Take) -- or have fallen the furthest that can bounce back -- Pulte Homes (PHM - commentary - Cramer's Take) and D.H. Horton (DHI - commentary - Cramer's Take).

But nobody's really interested. As someone who believes housing will bottom in price next June, I know I should be busy finding one to buy. I am still trying to get my arms around how things will shake out.

One thing is for certain, you can't get this rally without some break in mortgage rates, and that doesn't seem to be in the cards at all.

It is hard to believe these stocks could be telegraphing anything else, though, given that there isn't much in the way of data that show anything other than another leg down in the foreclosure market.

When I look for positives out there for the publicly traded plays, I come up with one big one: the endless filing of bankruptcies by the smaller players. I also recognize that the cancellations, at least for TOL, have peaked.

Other than that, though, we have the charts, but, as I said on Mad Money, these charts are so good you have to marvel at what they are saying: Go buy calls on the HGX!

At the time of publication, Cramer had no positions in stocks mentioned in this post.

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Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. Watch Cramer on "Mad Money" weeknights on CNBC. To order Cramer's newest book -- "Jim Cramer's Stay Mad for Life: Get Rich, Stay Rich (Make Your Kids Even Richer)," click here. Click here to order "Mad Money: Watch TV, Get Rich," click here to order "Real Money: Sane Investing in an Insane World," click here to get "You Got Screwed!" and click here for Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he appreciates your feedback and invites you to send comments by clicking here.

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