Jim Cramer -- Will Nordstom Be Next to Feel Retailer Pain?

Nordstrom (JWN) - Get Report reports earnings on Thursday after the close. TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said he'll be watching the mall retailer to find out if it is having the same problems as its competitors.

"Luckily" for Nordstrom, thanks to poor results from Macy's (M) - Get Report and Fossil (FOSL) - Get Report  the expectations on Nordstrom are now much lower, according to Cramer.

He said Nordstrom, like its competitors, is perplexed by how it can top online retailer Amazon (AMZN) - Get Report , which continues to draw in consumers for an easier and more rewarding shopping experience. Cramer said Nordstrom management has even acknowledged Amazon's excellent customer service.

Older generations like to shop at department stores but more and more the millennials are avoiding traditional retail and opting for more convenient outlets.

Could the stock bounce on earnings? Sure, but "I'm not playing the bounce game," Cramer said. "We're not hedge funds, we're investors and we're looking for longer-term themes."

So while a short-term bounce mightbe in store for Nordstrom, the long-term secular trend still points to a decline in mall traffic, which is going to make life difficult for the retailers and investors who stick with them, Cramer concluded.

Shares of Nordstrom are down nearly 7% Wednesday.

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.