Cramer sold Nvidia and believes that Nvidia will miss this quarter. You will have to listen to his broadcast for details, if any he gives. I just read the article underneath. He of course says Nvidia has a great future, etc., but will miss this quarter and therefore best not to be too greedy after all of this profit.
Seems to me that we are at the bottom of a new Wall of Worry (WoW). We had climbed the previous one and sucked the worry out of the market, and then bam the Fed comes and pounds it back into us, and now investors are fearful that their is a turn in the cyclical tide, no reason to buy as better prices will be had in the future.
What happens is, assuming they are not correct about the change in the economic cyclical tide (which many in the market may link to the slow down of the Chinese economy due to the trade war, yet another nail in reaching towards the bottom of a new WoW) slowly, step by step, investors start buying back into the market, climbing that WoW, slowly, then more rapidly, but with fits and starts until less and less worry as we climb higher up the wall so more and more investors pile back in.
Those who are the bottom of the wall will either be called “bag holders” when instead stopping at the ground the WoW starts digging a deeper hole to form its base, and then start the slow climb out of the ditch, back to where the bag holders, or ignored because no one else likes to give credit to investors who were smarter than them simply because they held and bought while everyone else panicked at or near the bottom of the WoW.
Cramer, obviously a mainline figure in both the institutional and consumer investor communities is signaling exactly this, better to get out, take your profits and not take the chance of being a bag holder, then be a nobody in the end who ended up holding near the bottom and kicked butt on our returns on the way back up.
Such moves the invisible spirits of the market. Cramer selling out Nvidia on the cusp of its latest and most revolutionary chip release. Sensing that the recent market crash accurately portrays fundamental realities to come. No basis for it probably, but that is why we each follow our own signs, and Cramer found his to follow, whatever it is.