TheStreet.com TV Recap: Sussing Out the S&P Oscillator

Now that Standard & Poor's proprietary oscillator is at minus seven, the market looks like it's poised for a pullback, Jim Cramer said on TheStreet.com TV's Wall St. Confidential Web video Friday. And that means it could be a good time to buy, he said.

S&P's oscillator, he said, is used to measure how overbought and oversold a market is.

Historically, over a 20-year period, Cramer said the oscillator has never let him down. It has certain periods when its readings are really high. That is when market players should sell, he explained. Then there are certain periods when the oscillator is really low, very negative, and that's when people have to buy. ...