Jim Cramer thinks that the
"I think it's inevitable that portfolio managers will have to do some selling in order to raise money to buy this new issue. And because anyone running a hedge fund or a mutual fund knows to stay diversified, I see them selling profitable Internet oriented stocks," Cramer said, rather than stocks from other sectors.
Although dozens of Internet stocks may selloff, Cramer suggests keeping a close eye on three; Facebook, Google, and Apple. In all these cases, Cramer thinks an Alibaba inspired selloff presents opportunity.
Of course that begs the question, at what level should you buy?
For insights, Cramer turned to technical analysis from of Ed Ponsi, the managing director of Barchetta Capital Mangement. Following are his thoughts.