Toll Brothers (TOL) and KB Home (KBH): Cramer predicts that housing has bottomed and that things will look brighter for the sector since analysts seem to have a bearish "pack mentality." He suggests taking advantage of this negativity buy picking up KBH as it prepares for Friday's earnings report which will confound analysts' dire predictions.
Chesapeake Energy (CHK) and Southwest Energy (SWX): Cramer suggests taking advantage or recent natural gas moves by buying CHK and selling SWX which is up 20% but is not sufficiently hedged against a fall.
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