NEW YORK ( TheStreet) -- Jim Cramer fills his blog on RealMoney every day with his up-to-the-minute reactions to what's happening in the market and his legendary ahead-of-the-crowd ideas. This week he blogged on:
  • Apple's breakout;
  • why names like Caterpillar will continue to rise despite China's rate hike; and
  • why U.S. markets are bucking overseas weakness.

Click here for information on RealMoney, where you can see all the blogs, including Jim Cramer's -- and reader comments -- in real time.


Apple Foils the Doubters Once Again
Posted at 10:58 a.m. EST, Tuesday, Dec. 28

For those who had simply given up on Apple ( AAPL) because it couldn't take out the high, the question is now moot. The problem with Apple and with so many other stocks this year has to do with failed breakouts that turned into true breakouts and multitudinous heads and shoulders that turned into reverse heads and shoulders.

Apple is no exception.

This is the year when technical analysis played hit or miss. So often I have had emails and callers saying that Apple is failing so we have to sell Apple and that the failure shows that all of those iPads sold and all of the iPhones purchased were overstated or that there was so much "good news" in the stock that it couldn't rally past this level.

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To those who say that, I say, "Now what?" What happens if it turns out that everything's as good as we thought and that people who bet against the stock because of the failures ended up just plain wrong, as I think they will be proven?

The breakout could launch Apple in the way that so many of the fastest growers took off once they passed their tops. Apple could go up dozens and dozens of points before it even approaches the value of the rest of the FADS CAN stocks.

And I think it is going there.

At the time of publication, Cramer was long AAPL.


China's Rate Hike Was Just a Speed Bump
Posted at 5:55 p.m. EST, Monday, Dec. 27

You can't have a second tightening tonight in China, and that makes me pause and think that the return to the cyclical trade could start again tomorrow.

No matter what, despite strong copper (how many here have doubted that metal?) and a weakened dollar, there's no way the Caterpillars ( CAT), Vales ( VALE) and Cummins ( CMI) can be up the day after a tightening. But the pattern has been one-day selloffs of the Caterpillars and then a re-affirmation and resumption of the rally.

It is interesting to note that many of the soft goods and drugs stocks just can't lift at all, a sign that the money's not really flowing out of the no-recession into the recession camp, the money just takes a breather or some profit-taking occurs. They will eventually slow down China but, I always ask myself, what happens if they engineer still one more soft landing? Then you have Caterpillar go to $120 and Cummins to $150 as the earnings in the out years will be so strong.

I also believe that we could come in tomorrow and see Europe far less rocked, a scenario that would also contribute to more firmness.

Never forget that the market is rarely down this week, and hasn't had any significant down move at all when the S&P 500 is up double digits going into the last few days of the year.

Today's robust action indicates to me that the pattern is holding.

At the time of publication, Cramer was long CAT, VALE and CMI.


Why the U.S. Markets Buck the Global Tide
Posted at 2:06 p.m. EST, Monday, Dec. 27

Three theories to the strength in the face of the obvious weakness that should have happened. First, the mechanics of the game: powerful forces meant to preserve gains went right to work, staving off what should be some pretty heavy losses for the Chinese-related cyclicals. Since almost everyone has gains in these stocks, there's no reason for big mutual funds or hedge funds to let them dissipate. So they are being kept up unnaturally.

Second reason: the Chicago Fed's Midwest Manufacturing Index showed steady improvement. Given that there is a dearth of big news coming out, this report could actually have an impact, and it does show less dependence on China for a turn in the economy.

Finally, the market has a very hard time getting hammered when the banks act well. We are still, after all these years, conditioned to believe that this group, not tech, not oils, can buoy the market on its own or at least keep it out of trouble.

If that's the case, there are plenty of catch-up names to be played, including Action Alerts PLUS names PNC ( PNC) (should be much higher) and Bank of America ( BAC), as well as Citigroup ( C), U.S. Bancorp ( USB) and Wells Fargo ( WFC). All are U.S. cyclicals (except for Citigroup which is global) that are so far behind the market that they can be bought without worry of profit-taking between now and Friday.

Just a thought or three to explain this highly unnatural strength in the face of global weakness.

At the time of publication, Cramer was long PNC and BAC.
Jim Cramer, founder and chairman of TheStreet.com, writes daily market commentary for TheStreet.com's RealMoney and runs the charitable trust portfolio, Action Alerts PLUS. He also participates in video segments on TheStreet.com TV and serves as host of CNBC's "Mad Money" television program.

Mr. Cramer graduated magna cum laude from Harvard College, where he was president of The Harvard Crimson. He worked as a journalist at the Tallahassee Democrat and the Los Angeles Herald Examiner, covering everything from sports to homicide before moving to New York to help start American Lawyer magazine. After a three-year stint, Mr. Cramer entered Harvard Law School and received his J.D. in 1984. Instead of practicing law, however, he joined Goldman Sachs, where he worked in sales and trading. In 1987, he left Goldman to start his own hedge fund. While he worked at his fund, Mr. Cramer helped start Smart Money for Dow Jones and then, in 1996, he founded TheStreet.com, of which he is chairman and where he has served as a columnist and contributor since. In 2000, Mr. Cramer retired from active money management to embrace media full time, including radio and television.

Mr. Cramer is the author of "Confessions of a Street Addict," "You Got Screwed," "Jim Cramer's Real Money," "Jim Cramer's Mad Money," "Jim Cramer's Stay Mad for Life" and, most recently, "Jim Cramer's Getting Back to Even." He has written for Time magazine and New York magazine and has been featured on CBS' 60 Minutes, NBC's Nightly News with Brian Williams, Meet the Press, Today, The Tonight Show, Late Night and MSNBC's Morning Joe.

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