I like relative strength. Sue me!

We are buying the components of the


semiconductor index as the majority of these companies just reported great numbers and you have to be sure you are buying the winners, not the losers. This is not the time to take advantage of the decline in


(UIS) - Get Report


But look at the SOX, which opened down badly and has rallied. That's a place where the weakness is a gift.

Look, we can't kid ourselves. The


has to tighten again. The numbers are too strong. So we are staying away from the financials, which will be hurt before, during and after the tightening.

Remember, however, the dichotomy of the money managers -- the young, non-'87ers, vs. the greybeard bears -- and let it work for you. The non-'87ers are saying, uummm, ummmm good, get me some SOX. The old-timers are shorting them.

Maybe I am young at heart.

Random musings:

Don't shoot me about the lateness of my report today -- our publishing tool was down. I tried to file timely this morning, but the system wouldn't let me. I am conscious that the market is hideous and you want to know what I am doing, but the pub tool does break now and then...Check out the

Institutional Investor

article in

The New York Times

. Aside from the cheap shot about what we are about to do with analysts in the last paragraph, next week I am going to detail The Ultimate Accountability Project --


own analyst ranking -- that we are about to pull off... You have to love that VIX spike up to 35 at 9:43 a.m. That was a terrific buy signal.

James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund had no positions in any stocks mentioned. 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