Its a tougher call than i thought, even on a day the dow gained 93 points s p up 5 , 4 , record highs and nasdaq climbed 7. 3 . So many crosscurrents out tlrchlts bi,. Byuy, buy, buy, buy, buy. Since 2009, a techled selloff as friday you typically get much more follow through than weve seen this time around in other words, youd expect a tech debacle friday. All right . To be followed by a second wave of selling on monday sell, sell, sell, sell, sell with moneyal rog in arollingr household name stocks. That didnt happen back into tech almost intantly heres why almost all tech selloffs triggered by earnings shortfalls from key cities. On day one, a tech company preannounce as sharply worse than expected quarter. This was friday. Often in parts of the hottest area, social, cloud, video, machine learning, Artificial Intelligence that move shocks people. Takes the breath away. Because its seen as being the tip of the iceberg others there, need to be taken down too simultaneously, instantaneously, waves of selling in every nook and crany of tech as traders anticipate number cuts, because of the initial shortfall as the analysts slash price targets, down grade stocks, next mornin morning, sell just a continues colgate, proctor, going to Companies Like these, Johnson Johnson safe to make the quarter. By day three which would be today, the tech wreck finally ceases with a whimper ah and money starts spreading to other areas. Like the better acting higher yielders that could well when Interest Rates are low a funny thing happened this time it wasnt triggered by a shortfall. There was no preannouncement. All we got was a short seller hollering about market fade and cramer and nvidia and a Large Hedge Fund sending back investing in a lot of fine names. The usual catalyst, botched quarter blamed on the slowdown and migration of the cloud or sudden decline in orders to what seems to be apple all of the sudden maybe some weakness in search none of that happened. No there was no breakdown so there was no reason for the analysts to followup yesterday with more down grades, because there was no actual shortfall, there was no tech massacre in fact, the only thing that did happen, an unusual sunday night downgrade of apple, seemed like a pylon given apple traded terribly friday. Thanks to a story arguing its fight with qualcomm was off the rails and the company would be hurt when qualcomm decided to withhold its new highspeed chip and thats something i could not confirm from the apple side of things there was no real approximate cause for the tech pullback. There was no off the rail situation but we did get the usual cowardice from tech yesterday as so often is the case, they totally hide under the desk when they see a tsunami are selling coming their way and wait for the tide to ebb before they reiterate the buys initial wave of selling but no followthrough, because nothing was actually wrong and the apple down grade wasnt Strong Enough to impact that many stocks. Five analysts, no big name heres where the big divergence comes in kind of throwing people today should have been the day when every fang in fangrelated analyst comes out bulls their stocks with price targets and goodies that make us feel like dopes for not buying the down stocks remember, theyre down from thursday virtual release from facebook, thought a number bump for alphabet or broadcom nope not even love from nvidia or representation of the ap many downgrade. Travesty maybe it happens today i did see suspicious positive trading in nvidia in the last hour of date that might indicate a positive comment coming from wall street tomorrow not much else, though. Instead what we did was got a lot of broken field running today. Reminiscent of that rotation, that raggedy rotation we saw end of last week, as a smattering of financials rose up, anticipation of the fed raising rates tomorrow boroughs gravitated towards mastercard and visa. Not jpmorgan an upward bias, however, because the extra boost i think from the treasurys attempt to losing regulations making bank a little more profitable. We saw money float into the industrials third day in a row perhaps to get ahead of more quarterly reports. More on that later usual back flow into the oils weve had several days nothing big. Nothing to get excited about enough to be able to push the group further off their loads and to stable nigz ilize in thes feeling like a sucker rally to me something totally nutty today. In all keeping with the action, again, threw people off. Ahead of a rate hike we saw a breakout in the one group that should go down ahead of a of a rate hike. So breakout in the house in stocks housing stocks after days and days of the decline we saw a jump in home depot. Total shocker given scots miracle grow slashed and says weakens in the outlets and craziest thing down three scots itself rallied hard taking up lots of home and home goods stories major part of rotation today a brand new part of it although some could say its an extension of the buying in retail that started last week when nordstrom said it might go private and its sizzled out before we tell ourselves the tech selloffs over and we can go back to buying we need to address a twopart conundrum in this rally first, comeback is anemic. Plenty of teching well below they were thursday if there wasnt more to the selloff they should be higher perhaps perform we get analysts go, rah, rah, remember that nvidia rally, but didnt get it today. Second, other rally similarly lacked punch it was a grade b. End of rotation action. Not something seething a strong comeback that gives us a launching pad to higher prices in short, what we had for all intents and purposes, end of banks, retailers oils, industrials, a less than enthusiastic move into tech leave as couple scenarios that need considered. First, entirely possible a surprise from the fed. Something that makes it so today nontech gains are repealed and money flows back into tech fas it never occurred. Complicated but to happen. Second a possibility the fed is hawkish and says it wants to raise rates against soon, get a continuation of that rotation that started last week finally, i think theres a chance that the market initially gets hammered across the board when the fed speaks. And well see what this darn thing is made of when we sort through the rubble on thursday now, i believe in my heart of hearts this market can continue to move higher, but hard to rally on a total lack of information or data points that make people feel like its worth it to buy stocks up here the bottom line, today felt more like the end of rode rotation, not the beginning of a new one without a fresh catalyst i cant see us lifting off from here unless fed chief janet yellen says things are terrific raise rates and turns out to be genuinely sanguine that the future is brighter than the past mark in colorado mark caller hey, jim booyah from bolder, colorado. Nice. Whats going on there . Ah, gorgeous, sunny day wish were you here. Same. Caller i have to drink beer without ya. Thats okay they have a lot of craft beers im not crazy about. I do like coors like whats up . Caller yeah. All right. So under armour a good buy now look pretty beat up the last two years. I think under armour had a nice move off the high teens give that up a little bit of too much steph kur any it gets to 2021, fine remember, vf moving up, nike stabilized not like the apparel business is awful. Bob, my home state of pennsylvania bob . Caller hey, jim. How ya doing today i am good how about you . Caller great thanks for taking my call. Of course. Caller my question is regarding walgreens pending merger with rite aid and panelway to ftc approval a come questions from a shareholders perspective, whats your viewpoint on this transaction and do you see it getting approved, if not whats substantiated rounds will the ftc use in blocking it disappointing, walgreens, sold and able to trade around it the problem. Ftc blocks it because it will create too much power causing rite aids stock to go down. Not necessarily walgreens. They either get the deal done, stock goes higher or announce a gigantic buy back and the stock goes higher. Winwin walgreens, but, boy, is my patience tried with this one. Matthew in south carolina. Matthew . Caller hey, jim. How ya doing well. How about you . Caller doing all right so i was looking at Teva Pharmaceutical looks like a Great Company biggest manufacturer of manufactured drugs in the world. Great drugs coming down the pipeline his tough times. Acquisition, ceo and cfo leaving and replacing four members of board of directors fli s in add to a new ceo what do you think . Share is low when they, remember, bought allergan, when they bought allergans generic, they gave they gave allergan a huge slug of stock, which in a couple months will be for sale in order to be able to clean up tevas the Balance Sheets better. I say, no. Dont buy. Dont buy, dont buy. Dont think its the right place to be. All right, a lot of crosscurrents right now, although iheaded higher. We need to hear janet yellen say 9 right thing. Sports flying in Emerson Electric but it the stock continue to amp up the juice plugging in the profits. Capping technicals and shining a like on the company and big downgrade of Energy Related stock made waves last week the worst part, i think the waves are dead right ma make sure this company isnt lurking it your portfolio. Ready to ride the rails for profits . Announcer all aboard this one is express, only next stop, cramerica dont move were pulling into the station so stick with cramer announcer dont police a second of mad money. Follow jimcramer on twitter have a question . Tweet cramer madtweets send jim an email to madmoney cnbc. Com or give us a call, 1800743cnbc miss something head to madmoney. Cnbc. Com. Think again. This is the new new york. We are building new airports all across the state. New roads and bridges. New mass transit. New business friendly environment. New lower taxes. And new University Partnerships to grow the businesses of tomorrow today. Learn more at esd. Ny. Gov hey youve gotta see this. Cno. N. Alright, see you down there. Mmm, fine. Okay, what do we got . Okay, watch this. Do the thing we talked about. What do we say . Its going to be great. Watch. Remember what we were just saying . Go irish see that . Yes im gonna just go back to doing what i was doing. Find your awesome with the xfinity x1 voice remote. Last friday we got the gipping of a big rotation. Money flowing out of the gross stocks into the banks. Retailers, oils, and some extent industrials. Tonight i want to talk about one particular smokestack stock that could be poised for a major bro break out. Emerson elect trick. Emr. Big industrial conglomerate pap brilliant technician a colleague at realmoney. Com a terrific track record to get a better sense where emerson might be headed for those of you who dont remember, the last time we checked in with collins, four weeks ago. Pounded on a stock nobody liked called qualcomm. 6 trading game. Never, after trading game and got it nice move. Take a look at the daily chart of Emerson Collins says this stock may flash more than a few sparks here an interesting chart over the past four moss emerson basically is trading sideway see that doing nothing. In a tight channel between 57 and 61. 5761. Breaking out from the major rally back in january. Lately, though the stock begun to push against a ceiling of resistance with emerson currently trading at 60. 84, a few cents way from a true breakout. According to cons, the stock gets back to 61, becomes real and resistance turns into emersons new floor. A floor of support but its not just the price action thats has collins feeling bullish about the stock. In addition to a breakout, something we havent talked about a lot calling the bollinger bands. These brackets mecher volatility emersons upper bolger band pushing higher there you go bowlingen jer band pushing higher similar to emersons last big breakout in january where you saw them pushing higher. Its expanded again in april that time the stock failed to splash through resistance. A failed breakout. In fact, its what created the current ceiling above at emerson mow. Why does collins think this time can be different when it did so on low volume look at volume you can see there this was not a time of big volume remember, for charters, volume is like a polygraph. High volume, movers telling the truth. Low volume, might be deceiving you. Lately the stock is advancing on strong volume. Look at that breakout of volume. Okay that suggests to collins this run is the real deal you see the green line right . Superimposed on top of emersons volume thats a 50day moving average of the volume. As you can see, surged above that level in reercht dcent day. What happened during the january breakout back here okay you can see, you saw the volume took it out again. Right above that line. Okay this is very important this is what hes saying is the tale it didnt happen during the failed april breakout. It stayed within the green line. On top of that, look at that on the bottom measuring whether stock has gotten oversold. April, overheated, oscillator an over bought reading meaning come up too far, too fast now, though, not over bought at all. Put it all together and collins says numbers could be ready for a quick move up to 63. Longer term, though, thinks even higher check out emersons weekly chart from a technical perspective, this picture graph of tells a much cleaner story. Rather than the neutral trading channel going sideways, emersons weekly chart, a very nice uptrend here moved like aological consolidation within a bullish pattern. The stock in stasis for 18 weeks, collins points out, take a longer view, actually climbing for 18 months. And the weekly chart collins sees the number sciences suggests its ready to resume ascent starters, last month, a relative strength index, rsi, really an indicator of an indicator. And we talk about the rsi all the time okay heres the this is one. Important gauge of the stocks momentum this side compares that tool to the its own highs and lows this case the past 13 weeks. Its hard, i know, but we got to throw everything at you. In may, then a bullish crossover and now in positive territory. Second, the normal oscillator at the bottom mesh whers a stock is overbought or over sold. Maybe its own bullish crossover, the black line goes above the red one right around the same time okay why does this matter collins said seen it before in Emerson Electric back in late october of last year, 2016, okay you began to see the same thing. Both times the stock rallied hard in response collins said the third time no differ and a stronger move higher plus also like whats he sees in another unusual technical tool you see this purple band thats whats known as the 40 week trading envelope. A trading envelope just tracks one of the stocks moving averages and gives you a range around it. In this case looking at the longterm 40week moving average, plus or minus 2. 5 . As you can see, emerson trade ago born this envelope for months, and collins says when thats the case, the odds tend to favor the bulls throw in the fact the stock is already up and in a longterm uptrend, you have a name with a lot going for it overall, collins expects Emerson Electric to amp up the juice and continue trading higher. Perhaps making it all the way to 70 a share over the next six to eight months what a great move that would be. If wrong, stock goes lower, a nice score of 57. Really bad, below 55. Collins says then all bets of off. The bulling stampede if youbelieve in this worldwid Economic Growth story ive been talking about, and youre looking for an industrial with upside that really hasnt moved that much, the charts interpreted by tim collins suggested emerson lech tlak more run to run my view . Look, do a lot worse than emerson. Imagine paying this nice 3. 1 yield just to wait for something good to happen much more mad money ahead. Is real company csx on a new highspeed path to profits ill tell you if its time to ride the rails to recovery, and time to set up an embargo against a stock that has no place in your portfolio. Even though i know its tempting and President Trump tried to focus on the economy since taking office but may not have the last word. Ill tell what you will. Stick with cramer. [vo] when it comes to investing, looking from a fresh perspective can make all the difference. It can provide what we call an unlock a realization that often reveals a better path forward. At wells fargo, its our expertise in finding this kind of insight that has lead us to become one of the largest investment and Wealth Management firms in the country. Discover how we can help find your unlock. When old school Large Capitalization stock doubles in value in less than a year you better sit up and take notice. Im referring to the magnificent move in csx. All aboard one of the major american railroads with a stock going from 25 to 53 in just the last 12 months. Some of the strength had to do with the broader rally in the group. The group spent last year going higher and the election ran at a sprint pace. However, since the beginning of 2017, most of the other rails pretty much stalled out, but csx keeps roaring. It is up nearly 50 year to date [ applause ] even if the stock pulled back oh so slightly over the past couple week the reason for its incredible strength, if you ever believed executives didnt matter a ceo just another semireplacement cog in a larger machine . This action is csx is Proof Positive the stock market disagrees with you [ buzzer ] much of the gains came in one fell swoop when csx replaced its longtime ceo michael ward with Hunter Harrison hallelujah the new darling of wall street and many other reasons to like the stock. If you want to understand why csx is on fire and may continue to run you need to know about the markets newfound love affair with Hunter Harrison. Buy, buy, buy the recent rally began january 19th stock surging 23 in a single session. On the news that mantle ridge, hedge fund run by noted activist paul halal, luring Hunter Harrison and outgoing of pacific rail wa to the top job at csx. Days after a Company Reported a disappointing quarter with tepid guidance in the wake of those not so hot numbers the mantle proposal to bring in Hunter Harrison quickly gained support of the board of directors. Late