Jim Cramer sees more than one way for investors to win in the market right now. However, there is one way to lose and that is with owning technology, or specifically, the FANG house of pain.
Apple (AAPL) reported earnings on Tuesday, which prompted the stock to fall more than 8 percent in after-hours trading. Cramer considered the numbers to be just OK, with some decent highlights that included an accelerating service revenue stream stronger than expected and some good data on new adoption.
With this in mind, Cramer added that Apple is now suffering from the hangover of strong sales last year, which has now extended to the once-red-hot Asian market.
"In some ways even Apple misjudged how truly strong its cellphone sales were, and it is hitting a reset button. A reset down, as estimates for both phones and earnings are going to come down hard tomorrow," Cramer said.
While there was a cushion to the earnings with the announcement of a dividend boost and a buyback, Cramer thinks many investors may give up on Apple and assume it is a one-trick pony.
"I have been saying the outlook will be tough. It was that, and then some," he added.
One of the many reasons Jim Cramer thinks the global economy is getting better is because of basic material stocks. Investors have been gravitating toward basic materials, which often signal that the economy is getting ready to roar.
"All these materials stocks are screaming that the global economy is accelerating, and that is very good news for whole host of other sectors, too," the "Mad Money" host said.
To get a better read on what is happening from a technical perspective, Cramer turned to Ed Ponsi, a technician who is the managing director of Barchetta Capital Management and colleague of Cramer's at RealMoney.com.
In Ponsi's view, there is no question that basic materials are breaking out to the upside. He looked at the daily chart of the XLB (NYSE Arca: XLB), the S&P materials ETF, which serves as a proxy for the group.
Ponsi noted that just as the XLB was breaking out from its powerful ceiling of resistance, it made one of the most bullish patterns ever in a chart, known as a golden cross. This is when the short-term 50-day moving average crosses above the long-term 200-day moving average.
"It's the kind of thing that technicians tend to salivate over," Cramer said, "If you want a sign that the basic materials group is now very much in vogue on the Wall Street fashion show, a breakout past long-established resistance, coupled with a golden cross is about as good as it gets."
It was only a few years ago that the idea of liquefying natural gas to export large quantities of cheap domestic gas was one of the most exciting stories out there, and Charif Souki, pioneered the idea.
Souki is the founder and former CEO of Cheniere Energy (NYSE MKT: LNG) who first saw the opportunity for exporting liquefied natural gas (LNG) and recently co-founded a new company, Tellurian Investments. Tellurian is focused on building low-cost terminals along the Gulf Coast.
In an interview with Jim Cramer on Tuesday, Souki revealed that his departure from Cheniere in December 2015 was due to a difference with the board, including recently installed member Carl Icahn. When Cramer asked Souki who specifically would differ on opinion enough with him to ask him to leave, Souki responded "Carl Icahn."
Cheniere Energy did not immediately return calls for comment from CNBC.
With Cramer's concept of the the roving bull market in full effect, one of the sectors that could represent opportunity in the long term for Cramer is within the cybersecurity space.
Proofpoint is a cloud-based cybersecurity company that specializes in protecting email systems, which tend to be a vulnerable part of any network. It has also expanded into protecting cloud storage, instant messaging and social media accounts.
The company reported a strong quarter last week, with a beat on both the top and bottom lines and provided optimistic full year guidance. Proofpoint also announced a technical partnership with Palo Alto Networks. To learn more, Cramer spoke with Proofpoint's CEO Gary Steele.
"At the end of the day it comes down to great technology. Cybersecurity is a big problem. People recognize that … companies are being attacked through phishing attacks that come through email. And they need sophisticated technology to be able to identify and block those attacks, and that is where we come in," Steele said.
Cramer also reminded investors that while it may sound heartless to layoff workers to cut costs, it still means a great deal to shareholders. It is not wrong to pay more for a stock when the underlying company lays off employees.
"Whether you like it or not, firing people is a very straightforward way to save money," Cramer said.
Palo Alto Networks (PANW): "You have to think about 2017-18. Apple — which I reiterate that you should own and not sell because I'm taking a longer term view than everyone else — is going to bring down Palo Alto to a level that you might want to buy some. I like that."
General Cable Corp (BGC): "It's got a good yield and it's in a good straight forward business and it fits the pattern of what I like here. So I think you're OK."
