If you believe the homebuilders have bottomed, Cramer recommended a pair on Stop Trading! today that he thinks “have taken the medicine” and are the best of the bunch “if you think the industry is bouncing back and this isn’t a short squeeze.”

Centex and MDC Holdings have both been realistic about the housing situation and are no longer adding land or pumping out homes, Cramer said, and are therefore “ahead of the curve.” He thinks both homebuilders recognize that things are in a downturn and are the “only guys who took the action early enough” so that they can prosper once things get better in the housing market.