Jim Cramer diagnosed the stock market with a case of the "wacky bids underneath" on Wednesday.
A bid underneath is a technical term used by money managers, which means that as a stock sinks, buyers are on the sidelines and ready to do some buying. Often an institutional trader will ask for a "picture" to figure out what the actual supply and demand balance is before buying a stock.
"Ever since the Trump rally began, there have been buyers lurking underneath. They remain, even when the S&P 500 futures might drive stocks down off of whatever ails the market on any given day. They prop up the stocks that they are lurking under," the "Mad Money" host said.
However, once the patience wears off, the buyers step up and end up competing with one another and the price of the stock rises. Cramer attributed the lurking buyers underneath propelled stocks like Disney, Starbucks and NVIDIA on Wednesday.
Just a week ago, Disney shares fell amid concerns that ESPN is losing subscribers. However, Cramer noted that on the conference call, CEO Bob Iger said he was feeling more bullish about ESPN lately, which was an encouraging sign.
Sure enough, Deutsche Bank upgraded Disney to a buy from a hold on Wednesday because of those encouraging signs. This prompted buyers to step up.
Even when the market turned down, the buyers underneath continued to buy stock.
"The opportunity was just too great, and they didn't want to miss it," Cramer said.
Likewise, two weeks ago there was lukewarm praise for the quarter Starbucks reported. After an initial rally, the stock retreated down near where it was when rumors surfaced that it could report a weak quarter.
Starbucks rose to $55 a share on Wednesday. Momentum is now with the bulls, and buyers lurking are now willing to pay up for the stock on a down tape, according to Cramer's colleague at Real Money, Bruce Kamich. Whatever investors disliked about Starbucks is now less relevant than all of the good things that are going on, especially in China, Cramer said.
On Tuesday, Cramer highlighted NVIDIA as the "new Intel of this generation." Even after the stock's 30 percent gain in the past month, lurking buyers surfaced and took it up another 6 percent on Wednesday.
"Buyers just can't wait for this market to come down. They are stepping up each day for a host of stocks. The result? I always say there is a bull market somewhere and right now there are almost too many to count," Cramer said.