Go ahead, keep focusing on Dow 10,000. But keep an eye out for the DOT -- and I am not talking about the princess in A Bug's Life.


TheStreet.com Internet Sector

index (


doesn't profit from trades in the index) started, there was a ton of skepticism about whether the launch of such an instrument didn't presage its high. With biotech and oil service, the moment the market makers rolled out indices, you could have shorted both of them with impunity. The enthusiasm was simply too great and had ebbed by the time the indices were launched.

Not with the DOT. It is 10 points away from its 600 crest back in January. The decline in the DOT from 600 to 440 was pretty catastrophic and certainly left one with the impression that this bubble would go the way of all other bubbles.

Instead, the Net seems to have gained respectability in the interim. People have begun to speak of blue-chip Net stocks and ones they would want to own even if they weren't Net stocks. Institutional money has been flowing in and, despite a massive cut in margin, the individuals who owned these stocks seem still to be buying (judging by



prereleased numbers this morning).

One thing that hasn't changed is the pump in the DOT calls. The March 600s, with four and a half days to go, are at 9-11. That means you get 9 bucks if you sell these calls and if the DOT goes up only 11 points this week, leaving the calls worthless.

Does that mean you should sell them? Hey, do what you want. Just cause they are expensive doesn't mean you should sell them. Some calls are expensive for a reason.

James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At the time of publication the fund had no positions in stocks mentioned in this column, though positions can 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 by sending an email to