Hold market doomsayers accountable

In light of this startling September rally, analysts who forecasted doom should own up to their mistakes.

By Jim Cramer Sep 21, 2010 8:47AM

jim cramerBy Jim Cramer, TheStreet

 

Death cross. Wrong. Hindenburg omen. Wrong. What's wrong next? What keeps you out next? What makes you feel like a dope because it freaked you out of the market next?

 

I am reminded of these technical travails as I prepare my "Chart Week" segments for this week and go over the points made by RealMoney contributor Dan Fitzpatrick on my show last night. He was talking about how reliable patterns are clues, not gospel, and how even the most obvious of them -- the dreaded head-and-shoulders pattern -- didn't play out this time around after Monday's breakout.

 

We were meticulous on the set beforehand, going over every single detail about levels that were hit, including the notion that we may have been repelled at a key Dow level Monday and that some people would regard the late-day action as a "reversal."

 

I wanted to nail it to make sure that the technicians who have stuck their necks out and said we were going to decline weren't able to use the end-of-day 20-point Dow decline to declare victory and say that we are now in a new down leg. Dan made a point to say that he expects backing and filling right here but that the next breakout is the upside.

 

I care about this because I care about accountability. I did a huge segment Friday about how I was so wrong about Cree (CREE) and Rubicon (RBCN), among others. I then followed up with mea culpas last night on Owens Corning (OC) and SanDisk (SNDK). I could have easily said in every case that I was just early. Instead I ate the proverbial crow.

When do the Death Cross people eat crow? Or were they just "early"? When does the guy, no doubt in his pajamas, who came up with the Hindenburg omen eat crow? When do the reporters who chronicle this stuff either eat crow for doing the stories or go back to those who predicted doom and ask them what happened?

 

Why do I own up and they don't? How can they get away with it?

 

We have had a miraculous run here. One of the greats. At a time when September, we were told, is dangerous. Where are the Cassandras now?

 

My advice to all of these people is to simply say: "Hey, I get a lot right. This time I got it wrong. I am sorry."

 

Then you know what I would say? I would say: "Thanks. I appreciate that. We all do."

 

Instead I am just amazed. Had I been wrong -- had the market gone down during this period, had Apple (AAPL) dropped off the face of the earth instead of rising almost 20 points since I blew up an Apple onstage -- can you imagine the ridicule I would face?

 

Seems very wrong to me. Time to own up, people. I can't call you out anymore. When I call people out, it is like a sledgehammer.

 

Others can. Including you. Do it.

 

At the time of publication, Cramer was long Apple.

 

Jim Cramer is co-founder and chairman of TheStreet. He contributes daily market commentary for TheStreet's sites and serves as an adviser to the company's CEO.


Click here to learn how to follow Cramer's trades for his Charitable Trust.

 

Related Articles

14Comments
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2013 Microsoft. All rights reserved.

Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.

Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.

Japanese stock price data provided by Nomura Research Institute Ltd.; quotes delayed 20 minutes. Canadian fund data provided by CANNEX Financial Exchanges Ltd.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

127
127 rated 1
269
269 rated 2
463
463 rated 3
587
587 rated 4
658
658 rated 5
616
616 rated 6
645
645 rated 7
430
430 rated 8
262
262 rated 9
137
137 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
COPConocoPhillips10
NWSNews Ord Shs Class B10
YHOOYahoo! Inc10
TJXTJX Companies Inc9
AMXAmerica Movil ADR Rep 20 Ord Shs Series L9
More

LATEST POSTS

Scary story: the 2013 market looks like 1987

All hail the bull market, which ended the week with a big rally. But it also is starting to look a little like 1987, which suffered an epic blow-out.

Fidelity Brokerage Services, Member NYSE, SIPC. (c) 2011 FMR LLC. All rights reserved

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.