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Jim Cramer and his "Mad Money" viewers reveled in Friday's rally, which pushed the
up more than 146 points and buoyed the
to a six-month high.
But Cramer said there's more room to grow. "Don't go cashing out yet," he noted.
Contributing to the huge run-up in stocks on Friday, said Cramer, was a benign employment number that gave nobody a reason to sell, as well as a good earnings report from
However, the prime contributor to the surge in stocks was the negative betting by the hedge funds put in the wake of the London bombings. "This time the pessimists were wrong," Cramer said. As they scrambled to cover their shorts, stocks moved higher. And, "those that weren't nimble, were steamrolled."
But would Friday's rally extend into other sectors? Not if that sector is telecom, Cramer said. "I can't give you the all-clear in telco," he said. Similarly, Cramer added that he felt good about exiting bank stocks, as he continued to see a rotation into tech stocks.
Cramer also said he favored consumer-based manufacturers like
Procter & Gamble
, rather than industrial names like
, although he gave a shout-out to
However, for those who missed Friday's stock ascent, it's not too late, according to Cramer. "You can still pick winners in a market like this," he said.
One way to do so is by going back to that same well of winners, most of whom will continue to outperform. Cramer noted that six of the 10 biggest winners in the
during the first half of 2005 were in the oil and gas sector - an area he continues to like, since he's still bullish on the underlying commodities.
Riffing through a list of the top 10, Cramer said he's still bullish on
Cramer also said he liked certain related stocks, such as
Conversely, Cramer doesn't expect much from the S&P's biggest first-half losers, shooing viewers away from
Delta Air Lines
However, he'd "back up the truck" for first-half loser
, which he expects won't be left behind in the biotech rally.
Many of Cramer's recommendations during Friday's "Lightning Round" reflected his confidence in the tech sector. Cramer gave the thumbs-up to:
(although Cramer said it needed a "shot of epinephrine" to move out of its trading range),
St. Jude Medical
Public Service Enterprise Group
He also said he liked
Energy Conversion Devices
Protein Design Labs
In addition, Cramer said he sticks by his prediction that shares of
will reach $360. "I think we're fine," he said, but noted that he currently prefers
Not getting "Lightning Round" seals of approval on Friday were:
International Flavors & Fragrance
Wolverine World Wide
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At the time of publication, Cramer was long Intel, Yahoo, Boeing, Gilette, St. Joe, Lucent and Sears Holding.
James J. 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
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