"That's perfect," said Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Stop Trading" segment. Seeing this type of price action is "a very bullish sign," he said, although he's still not all that bullish at the moment despite Tuesday's bounce.
But Cramer is still bullish on some stocks including McDonald's (MCD - Get Report) and Eli Lilly (LLY - Get Report). Lilly shares were recently over $90 and if the market holds up, Eli Lilly could move higher. The company has a trio of treatments including for diabetes, Alzheimer's and rheumatoid arthritis.