Cramer's 'Stop Trading!': Buy Capital One

"Down here, I like Capital One(COF Quote) more than American Express(AXP Quote)," said Jim Cramer on Tuesday's "Stop Trading!" segment on CNBC. "I don't recommend shorts on the show, but I would not own American Express."

He said that unlike Capital One, which "has got its losses under control," American Express is "very small-business oriented."

Word is that Allergan(AGN Quote), up 11.2% today, will be bought by GlaxoSmithKline(GSK Quote). "I would be a seller of half my Allergan position right here," Cramer said. "Let's not be greedy. You sell half, let the rest run."

Cramer said that after CNBC parent company GE(GE Quote), Sears(SHLD Quote) is the "No. 1 naked shorting game." The government is going to "crack down on naked shorting," he said. "I think the SEC understands this game and is putting an end to it."