To kram measure ker ka. Call me, 1800743cnbc. So thats what it will look like if we fall off the fiscal cliff. Im talking about how the stock market acted today, particularly near the end of the day before the closing rally, dow diving 75 points. S p seeking. 63 . Nasdaq, punching. 72 . Because now its dawning on stock holders they are facing Something Like the debt ceiling debacle. If the armed camps in washington dont disarm, and agree to talk to each other in a serious way, and not just the bluster sessions that seem to be happening daily these days, which reminds me, do you remember do you remember the debt ceiling nightmare last year . Going to those horrendous talks last summer, everybody felt very confident that the president and congress werent really at lagger heads. Market was almost at its high. Pretty good, vix low. Then like now, we heard that the discord was only political posturi posturing. The stock market forwarded ahead, and the complacency was thick and more people worried about moissing a move up rather than talks break down and we might actually default. Every time we heard meetings between the president and the speaker tonight, we figured we would hear Mission Accomplished the very next day. But we didnt. Things got ran cower ocourous. We got a deal, but only after, not before, after we had the hideous selloff. Makes sense. Remember how Unruly Congress was in 2008 when the previous president needed to pass t. A. R. P. . We got a quick 9 decline and then congress acted. Maybe these guys dont like to do the right thing until they see the whites of the bear markets eyes. Why is it suddenly dawning on people that the cliff isnt looming but were about to go over the edge of the abyss. The whole chatter between 12 00 and 3 00 today. Ill tell you why. In the last few days, people in the Business Community, ceos, many voted for romney. Had made pilgrimages to romney, saying, okay, president , listen. While wed prefer not to have taxes raised, we recognize higher income taxes are the price we have to pay to get a deal. The very constituency supposed to abhor higher taxes for the 2 , namely, the 2 itself is willing to take a hit to get a deal done that would be good for profits and hiring and american ascendency, on the brink of if we get a deal. What Business Leaders are discovering is what they are telling me is that they their acceptance and support of the tax increases meant nothing to the president. Obama was going to demand the tax increases with or without the approval of ceos, many of whom didnt vote for him anyway. Business leaders have something really wrong. Under a false impression, the impression that president understood their support for tax increases and they would pressure their own republican buddies in congress and accept tax hikes, the ceo figures that they would offer spending cuts and go with the president and the grand bargain would be struck. Now the ceos realize that perhaps the president doesnt think he should offer any spending cuts at all, maybe nothing substantive. They are saying, hey, listen, no compromise coming, even if they conceded they had to pay higher taxes, the gop isnt helping either. They dont want to get specific about own spending cuts and see a realistic proposal from the white house and pin the tail on the white house from being too tough on medicare. Somebody needs to be the bigger man here, and its increasingly clear that the Business Community thinks that somebody may not be the president. Thats the information filtering back to me. A little chatter that the president is no longer even negotiating and the republicans who are saying the president is taking a my way or the highway approach may not be posturing. That may very well be the president s view according to the ceos. I expect to hear Speaker Boehner on tv tomorrow reiterate that the president is going with the my way or the highway, no real spending cuts approach. No mandate for that except it really isnt a my way or the highway, my way or the cliffs way. Ive been pondering this, a Little Hollywood style. Maybe its a Rebel Without a cause moment. An actual loser in a game of chicken. The ceo realizes that the president , james dean, they are the other guy, the loser in the game of chicken, with their coats caught on the car door handle, trapped, and barrelling right over the cliff to a fiery death. Good scene, good movie. Bad ending. So what happens in the scenario when we go over the cliff . I loved todays glimpse before the Short Covering rally when we learned of the new meeting, first gold gets hammered, washington said inflation is really anti inflationary and the posturing wont change that. I want you out of the gold stocks and into precious metal. Gld, etf, sell stocks now, buy later. And deals looking bad for oil and gas companies, because demand for energy will decline, particularly demand for hedge funds. You like to play against a hedge. I like oil, remind you its an International Market kind of driven by the chinese, not us, if Eog Resources goes down, consider that company as a place to put your money. Remember, mark pappas yesterday. And people want to sell the drug stocks on decline. Here im not sure. Sellers are worried that the government may be negotiating with the drug companies. You know what . Probably really going on. I think that drug stocks have big dividends and after tax return on dividends will come down sharply after we go off the cliff. That was part of the deal of the cliff. Whats not getting hit as hard as you would expect . How about companies that have marginal exposure to United States but much morale involved with china . You could see joy global keep its gains. That companys Mining Equipment is more dependent on china than a possibility slowing of the United States. Were cutting back on coal anyway. Whats the most worry some thing on the whole decline . That this is really day one in recognition that the ceos were had here, the foils to james dean Rebel Without a cause triumph, and they are recognizing there is a cause. Soak the rich with higher tax rates and cut nothing. Cut nothing back, because the mandate, well, that was what the president thought he was elected on. To appropriate a little shakespeare, what fools these ceos be. The president , here is the way i summarized what they are thinking. President s rising above all right. Rising above the cliff. They will fall off in the vicious game of chicken. Bottom line, we have to hope history isnt repeating itself, that the market is beginning go down the path of the preceiling debacle, before we get crushed and get the deal. But if you remember the Business Community who thought compromise was in the air, the only thing that turned out to be in the air was you, in your car, going over the cliff, without wings. Without parachutes and a full tank of soon to explode octane. Lets go to nate in kansas, please. Caller booyah, jim. Nate in wichita. Thank you for taking my call. All right. Caller my call is for clear wire. I bought in late october, and im in at 1. 91 a share. About 15,000 shares, buy, sell, or hold . Any suitors coming in . Here is what we want to do. We have to ring the register moment. My friend david faber told people dont pay up, some guy saying it would be 5 bucks. Why dont you take some off the table. Youve got a double. Follow cramers rule, sell half tomorrow, maybe let the rest run. And anyway, i want it repeated in washington. Sadly, that seems to be where were headed, Rebel Without a cause. I dont want a repeat of the debt ceiling t. A. R. P. Debacle. But today felt sort of like we had one. Fiscal fear. A critical time for the ticker as wall street hangs on every word out of washington. At some point reality sets in. Cramer takes on the technicals to see if the market could be telegraphing its next move, when he goes off the charts. And, later, lastminute shopping . After almost doubling this year, shares of the gap have gap down, could this mega name clothing retailer be gift wrapped just for you . Or will cliff worries about locking in gains for the year soon make it come apart at the seams . Cramer trying it on, just ahead. Plus, engine of growth. The Power Outages that follow Superstorm Sandy gave many homeowners a wakeup call, as the rebuild continues, could Ab Investment in Engine Company brigs and stratton plug you into a strong trend . Cramer speaks to the ceo coming up. Dont miss a second of mad money follow jimcramer on twitter. Tweet cramer at madtweets. Send an email to cramer at cnbc. Com. Or call 1800743cnbc. Miss something . Head to madmoney. Cnbc. Com. Can i help you . I heard you guys can ship ground for less than the ups store. Thats right. Ive learned the only way to get a holiday deal is to camp out. You know weve been open all night. Is this a trick to get my spot . [ male announcer ] break from the holiday stress. Save on ground shipping at fedex office. [ male announcer ] break from the holiday stress. I have obligations. Cute tobligations, but obligations. G. I need to rethink the core of my portfolio. What i really need is sleep. Introducing the ishares core, Building Blocks for the heart of your portfolio. Find out why 9 out of 10 large professional investors choose ishares for their etfs. Ishares by blackrock. 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Even in the wake of todays decline, were still in a very weird market. With all of the constant fretting about the fiscal cliff and the damage it could do to the economy, we would be getting hammered all of the time. But at least if the averages were flat lining, yet, thats not that has not been the case for over the last four weeks. Instead, the s p 500 and the dow, nasdaq, generally moving higher and higher in true cramer fave Jackie Wilson style. The movie has been punctuated with nasty days like today, and the recent strength is a true conundrum and view the selloff as the world returning to normalcy, tonight, were going off the charts to figure out whats going on here and see what it would take for the s p to reverse todays losses and power higher and doing it with the help of carolyn barodin who is my colleague at the street. Com and shes been dead right about this stuff, which is why were going back to this well. You know im not a chartist, at least at heart. Im a fundamentalist, the best way to define where ab individual stock or the entire market is headed is to look at facts of actual companies. Create a world view. Ultimate ultimately, i think the market is in washingtons hands at the moment. While i wait for a fiscal cliff resolution, the charts can be most helpful. We keep coming back to barodin, her work is most eerily prescient. She called the tof tp of the in within ten points of where it peaked. Right here in september. And went cautious, all of these followed on our show. Told us she was drawing a line in the sand and said if it dropped below 1396, we were going to get hammered. I regard that as a hammering. Sure enough in early november, right after the election, we did indeed get pummeled, the really nasty streak. She called that. The last time we checked in with her was november 20th when the s p started rallying after the monster move. The monster decline, and then here, trying to figure out if this was real . We went to her. Her work said that the tin decks likely bottomed and a term was at hand. Look at the chart. Weve been going up ever since. Nice call. So she nails it here, she nails it here and she nails it here, okay. So thats not bad. Now, look. Im not saying shes some kind of oracle, Technical Analysis works right up until it doesnt. I would be wary to putting too much stock into any ones interpretation of the charts. During a very difficult period of the mark it would behoove us to find out what she could think could happen next. I would say she has the hot hand. Lets go with the hot hand and right now she thinks the s ps next move is all about hurdles, not olympic hurdles, stock chart hurdles. Okay. Last time we spoke to brodin, she said it could move highfer it could break out over crucial resistance. There was a ceiling of resistance at 1388. And s p summered the ceiling of resistance. Right through it. And the recent rally in the s p will continue, it needs to jump the next hurdle which is a thick ceiling, bounded by 1446, 1436. Thats a ceiling. Composite ceiling thats steel reinforced. T yesterday, it failed to jump the hurdle and the entire market got slammed back down. Hit the roof, went back. What makes this so important . Brodin is looks at leonardo fibonaci. He discovered ratios that repeated in nature. According to many technicians, like broadin, these ratios repeat themselves in the charts, as crucial turning points in the pricing action for all kinds of securities. Look at a previous swing in the stock or index and apply the ratios, and the result is an important level for the security. Brodin likes to look for clusters of fibonaci relations, and we have a group of three, 1346 to 144 6, which is why this is so important. A retracement of a previous swing, 100 price projection of another swing, and if it would be semet ral to a previous move, and brodins way of thinking, these three levels clustered together create a strong ceiling of resistance, and the s p p has to jump the hurdle. Now, we failed to jump the hurdle yesterday. And yesterday was significant, and negative. So brodin expected to see the kind of pullback we got today before we tried to test the resistance level again. Fortunately, s p has support created by another cluster, and this floor is at 1414. Okay. Just a couple points below where the s pent went out today. As long as we say above, the path of least resistance is higher and today, even if the ugliness, the floor held. What does that tell you . Again, this is the other part of the problem with technicians. If the floor fails, then brodin draws a new line in the sand, based on the low of the s p made on december 5th. If we go below that, we could be headed into a real howl some pain. If the s p can stay above that level, brodin believes its smooth sailing. Based on fibonacci, it could rally to 1510. More than 6 than it is right now. I want to make that. And looking at the next dhacharf the s p, the s p might go as high as 1555. Wow. Or even 1607. Again, using her work to get there. That would be the kind of market. And 1607. And the trouble comes back to the s p, to 1336 to 1446. And brodins going higher, and we could see terrific rallies in the dow industrials and nasdaq. She is approaching 13985. Caught your attention and she says the nd x running up to 2982, a 12. 7 increase where it is right now. Could that be apple getting back to where it was . The bottom line, charts arent more powerful than the fiscal cliff, while we wait for washington to finish its game of deal or no deal, this market has hurdle jumping to do. If the s p can break out above 1446, the pullback can be overcome and the entire market could levitate. Thats what we need to see to get charts on our side, or brodins version of them. Im with her. Cautious, wary, but opportunistic, all the same. After the break, ill try to make you more money. Coming up, last minute shopping . After almost doubling this year, shares of the gap have gapped down. For this mega name clothing retailer, now be gift wrapped just for you, or will cliff worries about locking in gains for the year soon make it come apart at the seams . Cramer trying it on, just ahead. And, later, engine of growth . The Power Outages that followed Superstorm Sandy gave many homeowners a wakeup call. As the rebuild continues, could an investment in Engine CompanyBriggs Stratton plug you into a strong trend . Cramer is speaking to the ceo to find out. All coming up on mad money. As we approach the end of the year, it sure doesnt seem like retail is having a holly jolly christmas, we got worries on the low end, with concerns about march begins at Dollar General, and negative commentary from the ceo of walmart. We have worries on the high end as a couple of days ago, the ceo of saks noted he has to be more conservative on his outlook, given the ridiculous level of uncertainty on washingtons failure to avert the fiscal cliff. With retailers, you want to own a turn around story. A real turn can give a stock a reason to transcend the worries of the fiscal cliff. Take the trend at urban outfitters, an underappreciated comeback play, highlighted on november 20th. Urban came out with a 10q, and samestore sales for the Fourth Quarter were strong, up by high single digits. Spiked prosecute 37 to 40. Sandy, fiscal cliff, still humming, but we have more confirmation that its for real and urban is getting its deal. Its also anthropologie, which does a lot of house wares. I want to focus on one thats definitely not getting the credit it deserves right now. Nearterm jitters, im talking about the amazing turn around in gap i know, no accounting for taste. The stock has sold off recently and viciously. 35 to the end of november, to 31 and change right now. And the pullback, a pause that refreshes. A great opportunity to buy