On October 6th 2008 Cramer panicked (or executed a perfectly timed strategy)  .  Like George Costanza in a now immortal Sienfeld episode, Jim Cramer ran out of that burning apartment and left every woman and child behind.  It seems the only thing he didn't knock over on his way out of that inferno was his ego.

On October 6th 2008 Jim Cramer told everyone to sell it all.  Get out of the stock market....  And get out of the stock market everyone did.  It was a panic and we didn't hit the bottom until March of 2009.    Had you ignored Cramer and held, you would have saved yourself much more than the commissions you would have incurred from liquidating your life savings.  You'd be up significantly on your investment in almost every stock.

Business and stock market shows are great for entertainment value.... and Jim Cramer is surely entertaining...  but he couldn't have been more wrong in 2008, or perhaps it was his intention all along.  For a man considered to be very smart, why would he want everyone selling at historically low prices?

Here is the Cramer Video telling everyone to sell sell sell everything on Oct 6th 2008!

http://www.youtube.com/watch?v=uoSLVCEGKko

I have circled in yellow the point at which CRamer said to sell everything and stay out of the market for the next five years.  The charts speak for themselves.  Had you wanted buy every stock in the S&P 500 at a cheap price you could not have timed this sell call more perfectly.  Cramer you might not be as dumb as you look after all.

On Monday AAPL is To Host a Conference Call About What its going to do with its $100 billion cash pile. Like Entertainment Tonight, our on the scene reporters have the inside scoop.  We have narrowed down tomorrows conference call to these 4 possibilities.

(1)  AAPL intends to sign Peyton Manning?  (Hey Why Not.. They've Clearly Got The Money)

(2) AAPL CEO Tim Cook Will Announce He Is Receiving an All Cash $100 Billion Bonus in 2012.  (With Bankrupt Company CEO's Getting 10's of Million,  the CEO of the Largest Company in the World should be hitting paydirt)

(3) AAPL is enacting a reverse dividend.  All holders of AAPL stock must pay AAPL $.99 a share or forfeit their stock holdings.  (Another..."Hey Why Not".  You Don't Sock Away $100 billion By Giving It Away)

(4) AAPL Is going to buy every single retail company currently trading within the s&p 500. ( AAPL's market cap is significantly larger than the combination of every retail stock in the s&p500)

(5) AAPL is delisting its stock and starting its own stock market.  It will be called the IExchange and won't trade share certificates but Apples and Oranges.

(6) AAPL has paid a few billion dollars to have the word "pad" removed from all feminine products through out the world.  The maxi pad is no more...

(7) AAPL is announcing the new name for the IPAD3 - The MAXI PAD.....   (it sounded better in my head... oh well)

AAPL is up only slightly over the last 10 years.  You were better off buying a car, your kids some toys, or going on that over priced vacation than buying AAPL stock.

Pegged?  What do I mean by pegged?  Its the act of closing a stock at an exact strike price on options expiration.  For any of you that thought this market was a free market... think again.  If you need any further evidence look no further than Fridays' quadruple witching trading action.

GOOG closed at $625.04 a share.  A mere $.04 from the $625 strike.  For anyone who's followed or traded stock options long enough this is a phenomenon that is all too common to call coincidental.  Go through GOOG's price history for the last several years.  The stock routinely closes at or within a few cents of a strike on option expiration. It seems every Friday on opex, unlike the other 19 trading sessions, traders only want to buy the stock at a specific strike price... forget what the market wants to sell the stock for.

This trading action is not exclusive to GOOG.  AAPL also sees some very suspicious trading action into opex.  January expiration saw AAPL close right at $420.  December 2011 within a $1 and November only $.06 away from a strike.  September 2011 another "quadruple witching" opex day saw AAPL close right near $400.

PEGGED!  There is only one explanation for this trading action....  Manipulation.  The prices for GOOG and AAPL at opex are the ones that limit the losses of both the put and call contract sellers.  It's the "max pain" theory.  What strike price will inflict the maximum amount of pain on the put and call holders of each security.

While you and I could not get away with manipulating the price of a stock, it is common place on opex.  We can safely assume it goes on throughout the trading week.

Next options expiration (opex) when you are holding GOOG or AAPL puts/calls remember the PEG.  The market will not let you win on opex Friday.  Only those who manipulate the price of the stock will end up winning.

Take a look at AAPL's recent opex closes.  The majority of them are very close to a strike price.  You be the judge.... is it just coincidence?  Or is AAPL and GOOG (among others) being manipulated (pegged) to close at certain strike prices?

If you didn't know anything about AAPL and someone showed you the chart below,  what would you think?  What would justify an over 50% increase in a company's share price in such a short period of time?  AAPL is not a penny stock its the largest company in the world by market capitalization.  While I can see why people are buying, I think this move is begging for a correction, but I don't think we will get one just yet.  The more people like me say a correction is coming the more the stock will continue to ramp higher.

From late December 2011 to today nothing drastically has changed with AAPL, just their share price.  All the good things the analysts are saying the last few days as they jointly raise their price targets 20-50% higher, is nothing new to people who follow AAPL.

I'm not against AAPL and I think with all the money the central banks are printing their is no better place to be than the best company in the world.   This mercurial rise... I don't think its going to end well.  At some point the stock is going to give out, but looking how its trading recently that time is probably not tomorrow.

AAPL during this run has two other large red candles much like today's (the green arrows on the chart if you can't spot them).  Those both signified great buying opportunities, which means AAPL keeps going higher should today's action follow the previous red candles.

This type of parabolic move will come to an end at some point and AAPL will ICRASH to the tune of 5-7% in one day.  Intra-day we saw a 2.5% drop off the $600.01 new all time high price and we know AAPL can make big moves in either direction.  For the last three months its been decidedly in the upward direction as any drop in price is just another chance for the dip buyers reload their wagons.

I suspect that will be the case for a while longer, we will have to go with the Granny Smith, although not a very tasty apple, Green means more gains for AAPL call holders and more Red for AAPL put holders.

Last week stocks tumbled almost 2%.  The bears were rejoicing.  "Here we go!" they shouted with glee.  "The big drop is coming.... finally".

At Option Millionaires we know better.  We know that this centrally planned market is going to make anyone who can understand it some serious profits.  Last week, with all the bears as happy as could be, we wrote this:  http://bit.ly/AlFYOr.   We could not have been more right.  Since we wrote that post stocks have yet to decline.  We called for SPY $140, and that is what we got, less than 5 trading days later.  Another amazing call here at Option Millionaires.

Stocks are sitting pretty.  They are, and remain, impervious to downside.  The FED has clearly succeeded in their mission to send everyone into risk assets.  Grandma Jones who was living on a fixed income couldn't afford the drop in her interest income so she's liquidated all her conservative positions and backed up the truck on some $567 a share AAPL stock.  Great-Grandpa Salvatore, who worked 40 years as a mason has taken his entire savings account and loaded the boat with some Chipotle Mexican Grill at $400.05 a share.  You can't lose.  I joked last week in the chat room that buying stocks right now is like "Shooting Fish In a Barrel".  Someone responded that "even that takes some effort".  What a great statement.   The FED has made buying stocks an effortless task.   As if we needed any confirmation of this, late in the trading day JPM said they are joining the herd and buying $15 billion of their own stock.  The market took off,  we breached levels unseen since well before the financial crisis.  Tech stocks haven't been this high since 2000.  It seems I'm not the only one scratching my head.

Stocks should keep rallying... right?  That remains to be seen as there are clearly some headwinds for equities.  I am by no means calling a top.  I think SPY $140 can quickly turn into $150.  Stocks clearly have momentum and a very generous FED on their side.  But we need to look at the big picture.  Ben Bernacke and the FED have done a marvelous job.  Unfortunately  what they've done from 2008 until now was the easy part.  Print, Print, PRINT, PRINT.... dilute, dilute, devalue, devalue, devalue, reinflate, reinflate reinflate.... it has been very easy.

With economic data  coming in better while every other major central bank is still printing money........ the FED has a serious problem.... a USD that is growing stronger and rising interest rates.  The sharp rise in the interest rate sensitive USD/JPY pair implies a nice ramp in interest rates.    The USD also should continue to strengthen as the FED gave no firm commitment to QE3 today.  While stocks march higher even with a stronger USD (which I like), I think at some point this will come back to haunt stocks.  For now I am very proud of the FED, with QE3 still on their mind there is no way they could condone it with stock prices this high.

The FED has a very tough path ahead.  They could very easily lose control of interest rates as the economy improves and money leaves bonds for stocks.  The USD could see a sharp rally and this could hinder the "economic recovery".   The easy part is done.  From here on out its going to get much tougher.