"Then you realize that yesterday's sellers were simply of the hit-and-run variety, blasting out of the S&P futures because the dollar was too strong, commodities too weak, the euro on Greece-related death throes, and the Fed too vocal about a shake-and-bake tightening," the "Mad Money" host said.
Yet, on Wednesday the dollar was weaker, commodities did nothing and Greek negotiations had no rancor, which caused Europe to rally as the Fed stayed quiet.
Cramer sees Tuesday's action as a simple case of misguidance from the S&P 500 futures, as they once again gave investors the wrong signal. The "Mad Money" host considers this the ultimate violation of the Sonny Corleone dictum.
Recently, Cramer introduced the Sonny Corleone decree in honor of those who trade S&P 500 futures, flitting in and out of stocks based on silly news reports and not doing their homework. Cramer called it this referring to the classic "Godfather Part II" scene when Sonny learned that Michael had joined the Marines in WWII and said, "Did you go to college to get stupid? You are really stupid."
In fact, if the market were actually rational, Cramer would expect that Wednesday would have been a down day—not a day with record highs.
To prove this, Cramer outlined the following reasons as to why the market should have been lower on Wednesday: