Now that Herb's cried uncle, it is important to recognize that many of these outsized moves are outgrowths of some of the most amazing short squeezes in history.
I want to focus on four particular squeezes, where bets against stocks backfired in a big, big way. Remember, when you short stock, you have to buy it back at some point -- unless it gets delisted. In these four cases, the stocks "got away" from the shorts. They just kept climbing and climbing and climbing, causing a house of woe to be visited upon those who sold shares short.
The first is
, which was effectively chronicled here -- if not predicted -- by
in our fine tech coverage. People thought Rambus would be designed out; they are in big-time. Now the stock is grotesquely overvalued as the shorts try to reel the stock back, but the longs won't let them.
. People were worried that Oracle was having a soft quarter. Shorts pushed and pushed against this one, betting on some sort of negative preannouncement. Instead the company delivered on a colossal win in the B2B space. Shorts were -- and are -- being annihilated.
Third on the short hit parade is
. The smart money was betting that 3Com was going to have a crummy quarter, hit by
aggressiveness in the space. But the
spinoff wrecked those nightmares. The losses for the shorts here are just huge.
Finally, how do you spell pain if you are short? Take a look at
. Just check out the chart. I don't need to say any more. This was a massive squeeze and it is taking people apart. Daily.
I will go over this piece Saturday in depth so people understand the squeeze concept, but this is why these stocks took off. No doubt about it.
I won't mention it again. Go to the
brokers' survey if you haven't, as we now have created the largest survey ever. We need your voice still. But after today, we are closing it down and tabulating.
James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund was long Cisco. 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