Time to Retool

It's funky, it stinks and it is nasty ... and it feels like it's not done. The pressure on the S&P is so great that you can't get your bearings, and even the companies that have products in short supply, where the numbers are good, are getting blown away.

I see no silver lining right now except gold and silver ... not enough. I am thinking that Research In Motion (RIMM - commentary - Cramer's Take) has become a severe over-reaction, and Nike (NKE - commentary - Cramer's Take) too, but it is vital not to take a plunge and buy anything at this level, because if you are like me, you have already picked at these levels. Now you have to wait, as painful as it is.

To me, this is a great moment to get out of stuff that you aren't making any money in and to pick at stocks that are down much more where the fundamentals are better.

There is no cavalry here. The Fed has removed itself from the equation. There's just earnings and worries about capital structures. The earnings actually may not be as bad as we think, but RIMM and NKE say that anybody who says things are not much better gets slaughtered.

The capital structures are the real bears. Citigroup (C - commentary - Cramer's Take) cannot deny it needs money. Bank of America (BAC - commentary - Cramer's Take) cannot deny it won't cut the dividend. And General Motors (GM - commentary - Cramer's Take) can't deny the need to eliminate the dividend -- they have done that before -- and raise a huge amount of money on the backs of the common stock.

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

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