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OK, I admit it, we made a round of sales into this strength. Why bother? Why bother when the next data point will probably be positive: great revenue and maybe even some earnings? Because we hated the way bad guys

spooked the market last night with a bogus


(CSCO) - Get Cisco Systems, Inc. Report

call. We hated the fragility of it.

I am torn about selling anything. In a world where margin and the individual rule, there will be no margin calls at these levels and the individual is a buyer, not a seller.

But that nasty downturn based on something as feeble as a Cisco accounting rumor makes me want to take a little something off the table that was made since Tuesday's V-bottom.

People in my business have turned too negative, which allows the business-to-business stocks, which have been trashed beyond recognition, to have a snapback, tradeable rally. Hedge funds have been spooked and fooled and have gone short.

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But the time to short was when we were taking it off the table

the first time. We want to make sales, but we are not shorting. The fact that everyone thought



was going to get killed shows me that the negativity makes the short side too crowded.

We just want to have some cash for the next time the bad guys raid our favorite stocks. We bought a ton of Cisco into the raid. We suspect that other stocks are going to get hit for gossamer reasons and we want to be ready.

James J. Cramer is manager of a hedge fund and co-founder of At time of publication, his fund was long Cisco and Yahoo!. His fund often buys and sells securities that are the subject of his columns, both before and after the columns are published, and the positions that his fund takes may change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at