Sometimes the also-rans tell the tale of the tape. I am not a believer in trading by irony. That's where you have to sell when the market gets too crazy. However, the sudden rise of the also-rans really does spook the market.


Edgar Online




started ramping I quickly pulled up the charts of

Sovereign Bancorp



Florida Banks


, those two banking also-rans that ignited in April AFTER everything else had taken off. Wouldn't you know it, but it came right at the top of the Internet Sector

index (April 13).

Maybe people were simply drawing the same conclusion that when things get so crazy as to send up the busted ones, it is time to take profits. (I saw a similar conclusion made in June of 1996 when



went up in a son-of-



ramp. That was too much for people and the whole speculative show cooled off.)

If that happens, it would be a tough call because the Net usually has traded up into



earnings and then sold off. This would be some serious gun-jumping of the pattern. Again, I like irony in short stories and in movies. It has never made me a ton of money investing.

But then again, I wouldn't call buying some of the stuff that went up today investing either.

James J. Cramer is manager of a hedge fund and co-founder of At time of publication, his fund was long 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