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More Rotation

I'm trimming one position and adding to another.
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As the broader market has moved into overbought territory, I believe we're going to see more investor funds rotate into beaten-down areas like gold. With that in mind, I'm going to pick up another 500 shares of Yamana Gold (AUY) , here around $14.57.

The company is on track to generate 30% production growth this year and continues to operate with relatively lower cash exploration costs. This purchase gives me a total of 7,500 shares of Yamana Gold, or 3.2% of the overall portfolio.

I'm also going to sell another 300 shares of St. Jude Medical (STJ) , here around $44.77. Higher-multiple stocks will be the most susceptible if the market continues to give back some of its recent gains, and I don't want to be greedy with the hard-fought gains we've realized in this name.

This sale leaves me with 2,700 shares of St. Jude, or 3.6% of the overall portfolio.

Regards,

Jim Cramer

DISCLOSURE: At the time of publication, Cramer was long AUY and STJ.

Send email to james.cramer@thestreet.com.