After a weak opening. Advancing 28. 9 . Dont we have to ask how we left januarys busy pattern behind . We are asking if february is back into soeg and in some cases roared. Perhaps there is something good at work like the end of a slow down Going Forward in the rest of the earnings season before we could understand the possibility of a new pattern. We need to remember what the old one was like t. One that defined the whole month of january. I know it sounds simplistic. Last month we had a lot of what we call asymmetrical selling. Bye, bye, bye, sell sell sell for instance when the news is bad, the sellers are more powerful than the buyers. When news is good the buyers just arent paying up like they used to. Today finally the market opened down with more disappointment. But it was only able to rally nicely. That reverses januarys hideous almost daily pattern. I have to admit i found that heartening. I say, lets examine whats been happening lately so you are ready if the market cant sustain the old gain. We may be more bullish that january is in the rear view mirror, lets dissect what went wrong last mont. I like to do that on the big up days. The best example is the airlines. Now, for the longest time before going into 2015. Whenever the price of oil fell there would be an immediate rally up in the airline stocks. Its one of the cant miss correlations of 2015. Thats because pretty much like the airline, cheaper jet fuel went to the bottom line. You can raise numbers and raise them some more. Then we got these uncertainties spreading like wide fire. First each airline reported earnings. This time around the Analyst Community didnt get to raise numbers as they have over and over again. Thats because wall street finally got religion on the group. After being shocked by how long analysts were doing, they last had taken up their estimates in a major way. We didnt get big beats. Then we get this little spike in oil. What happens . The Airlines Just get clobbered, despite chan lifts chatter, the market leaders in most of last year and the year before it couldnt rally, they have to get back into rally move for me to be a beaver that january is different from february there is another factor. Typically when the company missed the corner you got some building, it started going back up. Lately, though you have to consider the case of microsoft which my Charitable Trust does. Did the company do the number . Yes. Did it have hair on the quarter so to speak . Was guidance tepid . Most definitely. As was the body language on the call. The simple truth is it wasnt that bad a quarter. Normally, we would say the stocks have fallen before the call. Some anticipated after intels good quarter in the stock. That stock went down. But, you know maybe microsoft wouldnt be that strong. That was the clatter. The reaction however, to microsofts not that weak quarter, i found it breath taking. The stock had been in free fall. It dropped from 49 to 41 with todays 88 cent gain really not cash microsoft. A 3 yield, break up the company. A lot of new products in the pipe. But it hasnt been able snap back much at all. Thats january. Weve seen the same pattern play out and another blue chip. American express. It delivered on both the top and bottom line. If it werent about the one line where december retail sales were slow. I think they would have gone higher, not lower. Plus the stock retrieved before the quarter. It didnt mat. It wasnt enough and americas best made a beeline down to 80. Just a bone chilling fall. Where there seems to be a delunl of sellers and no real deluge of sellers and no real buysers. They cut the forecast. Not the ones that affirm their forecast. I want to know up to the days buck 44 increase is the real deal for the proverbial dead cat balance. Then there is a quarter where it obliterates the estimates. This has happened a ton of times where the buyers seem to forget why they block but the sellers remember why they sold. There is no new data point and this stock seems expensive. I love the quarter from facebook. I told you had terrific akseling a accelerating growth. There was no converts no bears twiem bulls, hence, facebook couldnt finish down into cents a day. You know, i think you should own it. I am cognizant it should have gone up today. That was a little january superimposed on february. Apple reported one of the greatest blowoffs in american history, but again, i dont see anyone who changed their mind. Just more people anxious to take their profits. And go home. If the single best blowout didnt lend itself to a new high rally other than just buy penneys and it didnt finish up there. Then what happens to stocks after the garden variety blowouts . Most companies cant hold a cantle, how can they hang in by comparison . Then again, apple resumed it march higher today. I will believe it if apple closes above 120 its 52week high. Stay tuned. How about the breathtaking punishment of stocks that truly missed their quarters. The bees meeted out qualcomm they were extraordinaire. Sandus was emblemmatic of a preannouncement. A guide down and a further guide down because of less customer. That how the stock falls from 176. 3d Computer Company stratus is traiting down after a big profit warning, january or february. After the currency ended up with an outlook called that their safety of which they are always known to safety stocks into question. Both Procter Gamble and johnson johnson, reports vanished. These are beloved big cat stock people excellent ceos, yet the momentum disappeared like helium in a balloon. Okay. A little rebound today. Is it for real . I dont know yet. Finally you have these situations good Corporate News seems to do nothing. Did anyone notice that costco had a 5 special last week. This confidence didnt even happen until today. It finally dawned on people t. Stock folded 3 bucks, closed a year at its 52week high. The only stocks seemed to fly were the ones most heavily shorted going into the quarter. Like boeing they had a good number and a better conference calm. Amazon which reported a number that shocked people more important, bumped Gross Margins improved. They raised markets for amazon prime. All that happened was a dramatic increase in customers. Finally the short squeeze in netflicks sent that stock into the stratosphere. Net flicks crushed the signup line crushed the bottom lean the shorts. Thats the kind of story that had legs in january. Which brings me to my real conclusion. After last years magnificent performance, i think a lot of short sellers are crushed here. They seem to have my friend doug says left the building. Heres the bottom line. The market was broken in january. We would open higher suck people in. Then get crushed. Its almost a daily occurrence. It gave us the opposite one day doesnt make a rally. But the tone seems to have shifted. You have to be heartened by todays snap back performance. As january goes so doesnt go february . At least for the moment. Lets go to sheldon in florida, please sheldon. Hey, thank you for taking my call. I appreciate everything you do for everybody. Of course. My question is cdr refineing, it seemed like a roller coaster. I held on as long as i could. Now for no reason its going back up cvr refining its where i should have sold it. Your thoughts . Thats would have should have could have. You are too hard on yourself. This stock has come down big. It does have a big yield. A lot of people feel that yield is suspect. To me few want to own an oil company, goen dont go for that yield. You buy an Oil Service Company or maybe look if are you a real believer why dont you buy david dempshires stock . Core labs up 5 bucks today after being down ten last week. How about kelly in florida . Kelly. Yes jim, im calling from sunny south florida with a big next time ill hand the ball off to marshawn lynch, booyah. Yeah i think that would be a better call than the obvious. Caller thank you for taking my call first and foremost i want to thank you for your kind words of wisdom on king damage tal last month. You saved me and my family money on that call. So i thank you for. That moving forward the reason im calling today is last week before the Earnings Call i took a pretty nice position in ford. Its been doing well so far, so i just wanted to see what your thoughts are on it. Im looking to hold it longer. Mark fields i believe he is doing a great job. I think the reaction to the idea that europe could be turning because greece has said to rest in europe. Hey, look at me man, were not tolerating this kind of us a territory anymore austerity for ford. Could it be happy february . Are the buyers finally taking charge over the sellers . Buyers come in at the end of the day . We may have got an glimpse of a whole new market. But tread carefully, because the old patterns come back with a vengeance. Are they getting too bullish in black gold . Dont miss my take on whether were past the pain in oil. Can the companys big bet on the car drive the stock higher . Plus a Company Using smartphones to change the lives of millions managing diabetes. I think you should stick with cramer. You or v. Im talking about the recovery in oil if it hasnt started already. I have to tell you i still think the u camp makes more sense as the b supporters who think oil is starting to turn are starting to gain more and more adherence, especially after we saw another dramatic spike in the price today up a balkandahalf and 49 in change. Every time oil moves slightly we hear rumbles of a bshaped rally. Oil jumps up in the 80s, you know that the inability of the large oil stocks to take out the december 15th lows was higher heartens the bull they ignored chefron lows on friday and exxon mobile cut theirs in half today. If oil were done going down wouldnt they increase the buybacks maybe the fact that bothofthese companies bought stock all the way down and now get cold feet is indeed a sign of a bottom. I still believe were in a slow ushape recovery mode. It will be next year before we talk about oil in the 80s not to the possibility of massive faults from the minor players. Something we will learn about when they report earnings they will each cause a negative ripple. Now plus if oil stays down here the cash flow for some of the majors dwindle, may not be able to sustain difference. Anyone looking at the dedraggled ensco, the latters have been crushed, knows the rollovers can be severe. Then again, weve had so many downwaves, maybe that tells you something, too. A number of people pointed out the dazzling uses up according to energy administration, this judgment is contrary to what visa and mastercard said unless you believe we have all tons of pay now cash now, maybe with reckless abandon, you dont have a good case. Others talked about the rip count without thinking how many wells had been drilled before the collapse and how they will not be capped as the cost of maintaining an oil well, thats already finished ridiculously low. Others have pointed out the expiration budgets are being cut dramatically. If you see one oil Company Claim its production will go down big in 2015 from the cutback, read the fine print. They will almost all be up. Im talking about the smaller guys. Thats when each oil company will have patches, even at 49 bucks despite in aggregate, if you remember, they fell precipitously down to about 20,000 flat which increases the rate of return down here thats playing a role. Of course there is the demand side. Now you saw the chinese manufacturing pmi over the weekend. Its still decelerating. While the dry great index, its clear, a collapse of transport. Its a pretty amazing, i have to believe that it has to extend to oil. You wouldnt be a ship and no bulk and edge a lot of oil. Dont look to europe for help yet. Until the European Central bank goes full court and germany cooperates, i dont see Much Movement there. This dire situation if greece could cause the germans to go easier. Meanwhile, the less stable or totally unstable countries like venezuela, libya, iraq iran russia are pumping out oil in record amounts to pay the bills. An elongated ushape recovery i think is far more likely than a vshape that gets Oil Much Higher a year from now, either way, let me make something very clear. I am a big believer that oil will come back. I am more of a haventturist. I, too, am heartened by todays and fridays decisive rally david in kansas. Hey cramer thank you so much for taking my call thank you for helping us little guys. Of course. Caller first on that scoreboard behind you, what are the red numbers . Second, you recently ponderred whether oil stocks will rebound with a u or a v shape. Is this time to build a position in slumberge or halliburton . I want you to understand i think it may not be the lowest price you pay. They are Fabulous Companies that you are buying at a substantial discount to where they were. I am never against doing that both of those are terrific. So i am sanctioning buying those. All tow, remember they did have a nice run from last week. Okay. Okay. There you go. We are in slow recovery umode. Lighten up it will take some time getting into the real comeback mode. But understand that we do see some green shoots to hoyle. Much more mad money ahead harmon, the Company Giving you technology in your car, a major tuneup. Can the stock continue to rise in the fast lane . Then its been a rough start in 2015. This has been a loouj huge opportunity or should we stay away from the market . Plus the fight against die beat im going to show you how its saving lives. Why dont you stick with cramer . Thats. Katie said she thought it was about. Yeah. See thats what i said. What do you mean there is nothing under the hood . Katie said she thought this was a car. Yeah. Its built using wind like from a wind mill. Or a fan or a turbine. What can you learn from last nights super bowl ads, remember that Brian Gumbel Katie Couric ad that called your attention too the complexity and nature of new cars. Especially after last night its become clear 2015 is the year of the connected car. We will talk about it in that matters. It explains how the heck a stock can rally 26 last week a week it was a pretty darn ugly for the overall market thats what happened to harmon har, infotainment systems. Despite serious currency head winds at a time when so many suppliers with far less weak euro have been stumbling repeatedly specifically last thursday Harman International catapulted from 101 to 125 in a single sex. It was actually earnings. Its kept going higher. Now its up to 131 increasing another buck 39 today. Whenever we see this staggering straightup move. We kind of ask ourselves how could the market so dramatically mispriced the stock . First of all, let me take a moment harman has been a longtime cramerkramcramer fave. It might not have come as such a surprise although mr. Apollo could not talk about the actual quarter going in plus they pulled back aggressively. Which maept it was Spring Loaded to shoot higher if the Company Managed to beat expectations which is exactly what they did. If you want to understand harmans out performance, you need to know what this company is. For starters, harman is not a traditional auto part supplier. Something wall street endlessly fails to realize. You cant get it for what it is. In reality, harman is a Technology Company that happens to sell into the automobile industry. The company has thousands of patents from sound systems to infotainment systems, from media Safety Solutions and smartphone connectivity. Harman is the leading player by far in this market. Their products are currently in 25 largest cars and auto makers use their infotainment systems. They are winning awards for the quality of its products. If you paid attention to the ces, electronic consumers show in vegas, you would have known the big team was the connected car. In fact, it may be thing thenology story for 2015. Remember the chevy ad before the super bowl it looked like your tv cut out. We turned to our party host par excellence with 81 u one gigantic stare and it wasnt as brandnew costco tv. All right, it wasnt for a fancy schmancy cadillac or Mercedes Benz thats because these in car infotainment systems are going to nearness necessities. Like every car has a radio and will have harmans radio on it. Guess what this is very much a proprietary business. You might think that will be easy to cope. Remember, harman is sitting on thousands of patents. It has the best brand name. In fact about 70 of harmans infotainment business is soft software if you are going to bundle into a single system the software makes it betish than a supplier. They announced two major acquisition, including a sieper security one. They are trying to give themselves a bigger edge. Its wideening the gulf between them and everybody else. This entertainment story has become a big deal. It makes high end sound systems, many find themselves under cars and brands you may recognize, jbl, ear buds harman has a professional wheres they make sound systems and lighting controls, puting everything from movie theaters the grammys, the Country Music awards and yes last nights katy perrys super bowl show which i thought was the best ever what do i know . Its riding a major secular trend. The connected car. It dominates every market where it competes. So when harman has this spectacular quarter like it did last week, maybe we shouldnt be surprised . Harman delivered a 51 cent of a 1. 28 basis. Where was that oh with the strong dollar . No, on top of that the Company Raises fouryear earnings forecast for 2015. Harman did this in the base of the same year currency head winds and the strong dollar and so many other companies. Harman, no whining, just winning. I told you before harman pulled back in large because bears on wall street have drummond up fears that the core entertainment business could be under pressure. The company laid out those fears to rest if one fell swoochlt harmans organic sells grew by a staggering operating percent. Increase a seen they are widening the lead by 210 basis point. Much lieer than the numbers wall street was anticipating. They benefit from higher products and the overall increase in auto production. The bears have worried auto makers would push back on prices and keep up with the ever cheaper competition for smartphones. Could it have happened . As iv