Cramer warns chip rally, trims winners
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- SOX surged 47% over 18 straight sessions—the longest win streak in its history—before pulling back on Monday.
- Goldman Sachs noted the SOX trading about 50% above its 200‑day moving average, the most extended level since 2000.
- Morgan Stanley flagged semiconductor stocks as among the most overbought in history, warning of a near‑term pullback.
- Jim Cramer trimmed positions in big winners within his Charitable Trust and avoided chasing parabolic stocks like POET Technologies.
- Arm Holdings remains a long‑term attractive name for Cramer, but he suggests buying on pullbacks rather than at peaks.
Why it matters: Investors who bought at the rally face sharp pullbacks; Cramer's Charitable Trust will trim winners like Arm; the 37% April gain in the SOX marks a historic overbought level that pressures AI‑hardware portfolios.
