Cramer's 'Mad Money' Recap: Get Over Your Pessimism and Buy
NEW YORK (TheStreet) -- There's always tons to fret about in the markets, Jim Cramer told "Mad Money" viewers Monday, but when no one believes in the rally that might just be the perfect time to buy.
Cramer said hated rallies don't stay hated for long. Eventually even the most bearish investors are forced to capitulate and come in from the sidelines. It may be tough to stay bullish in times of high pessimism, but sometimes you just need to get over it and start buying.
There are tons of reasons to hate the markets, or so the bears tell us. They're worried about the light volumes, they fret about the "unsteady" banking system, and they've even devised a way to hate great earnings by citing "light revenue" numbers. But whether it's earnings or politics or the market mechanics, none of these are reasons to not embrace this rally, said Cramer.
While it may not seem like it to younger investors, we've been here before, recalled Cramer. Almost 24 years ago to the day, he said, there was palpable pessimism in the markets. Back then, even he was caught up in the hype, Cramer admitted. But after stern words from his soon-to-be wife and trading partner, Cramer said he started buying, taking full advantage of the 1,000-point rally in the Dow Jones industrials that followed.
Cramer said it's easy to sound smart and prudent when you're a bear, but there will always be things about the stock market to make you worry. When everyone is a bear, that's the time to buy -- not the time to sell.
Cramer said he's become obsessed with Mellanox Technologies(MLNX) , the little-known semiconductor company that's delivered an astonishing 248% gain so far this year. While he featured the company as part of his "Home Run Derby" series back in March, even he couldn't have imagined this company's phenomenal rise.