The Tells Predict a Contained Selloff

Cramer senses a major-league buyer of the S&P underneath the market.
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Other than the occasional short squeeze -- pertaining to the inflated short-interest figures for some DOT kind of stocks -- there's not much happening.

Even in the uglier moments of today's show, I get the sense that there is a major-league buyer of the

S&P

underneath the market. My two SPX tells,

Microsoft

(MSFT) - Get Report

and

General Electric

(GE) - Get Report

, the largest two companies, always firm up during every one of these selloffs. To me, that is a sign that any selloff will be contained by the people who are underinvested in the S&P and feel it will outperform vs. the more cyclical

Dow Jones

averages.

I can't tell you how many people have emailed me to ask, "What is the matter with

Intel

(INTC) - Get Report

?" Boy, are we spoiled. This stock's not a

Red Hot. It has some bad days now and then.

Or, you can panic from the bad action and sell me some.

Your call, as usual.

Random musings:

I am not applauding

Tellabs

(TLAB)

stock down 5. You own it. It ain't doin' that well in one of its important divisions. The other one may make up for it, but that's not enough for me. Oh, I am neither long nor short -- merely a voyeur, but one who loved this stock for about 50 points.

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

jjcletters@thestreet.com.