Here's a sell-off strategy to take advantage of the painful market rotation out of tech stocks

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Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Market bounce: After a rough start to Thursday's session, the S & P 500 and Nasdaq climbed out of their holes and traded higher. To be sure, a lot can change in the Homestretch to the close. But if you need a sign that the rally can hold, watch the action in the two highest-quality stocks in the market: Apple and Nvidia . Those are our only "own, don't trade" stocks, and they may hold the key to the rest of tech. Shares of Apple and Nvidia were mounting modest gains Thursday after a rough stretch due to the recent rotation out of tech and into other parts of the market. Selloff strategies : During Thursday's Morning Meeting for Club members, we posed the question of what's a better buy in the semiconductor selloff: Nvidia, Broadcom , or Advanced Micro Devices ? All three are great companies and have been hit hard in this vicious market rotation. Nvidia is about 15% off the high, Broadcom 17%, and AMD is now negative year to date. However, we agreed our pecking order would be Broadcom and Nvidia first, followed by AMD. That's because the former names are the stronger AI plays. See, when all stocks in the same group are falling, it's a better strategy to buy the best of the breed. Those are the ones that tend to rebound first. Sure enough, Nvidia and Broadcom were able to shrug off their early session lows and reverse higher. We upgraded Broadcom back to our 1 rating earlier Thursday and would have been buyers if we weren't restricted. Earnings calendar: After Thursday's closing bell, we get earnings from Dexcom, Sketchers, Texas Roadhouse, Deckers, Juniper Networks, Digital Realty Trust, and Boston Beer. Friday earnings include Bristol-Myers, Charter Communications, 3M, Colgate, and Centene. Inflation data : Friday also brings the June PCE report. The consensus estimate calls for a rise of 2.4% from last year. It's the last key inflation reading before next week's Fed meeting. The probability of a July cut is less than 7%, according to CME FedWatch tool. However, an inline to soft PCE print should position the Fed to start cutting rates in September. The CME puts a 60% probability of at least three cuts by December. (See here for a full list of the stocks in Jim Cramer's Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED. Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street.