CNBC's Jim Cramer on Tuesday said the market's ready for a pullback because many stocks, including tech companies touting artificial intelligence initiatives, have climbed too quickly without a solid basis for doing so.
"While I'm not a bear, we have way too many stocks that have gone parabolic, meaning they're straight up, and they're going straight up on nothing," Cramer said.
While he said he's not rooting for the downfall of the "Magnificent Seven" tech stocks, they need to "rest up" unless new legitimate information crops up to propel them forward.
According to Cramer, health-care stocks are also starting to see some reversals after the hype last week at the JPMorgan conference.
Although Cramer said he likes many of these health-care companies, he said their stocks should come down before investors think about buying.
Persons:
CNBC's Jim Cramer, Cramer, Christopher Waller
Organizations:
Dow Jones, Nasdaq, Federal, JPMorgan