October is time for patience, not fear

A few weeks from now, when the hoopla of the 25th anniversary of the 1987 crash dies down, you'll be glad you took your time.

By Jim Cramer Oct 10, 2012 9:11AM
TheStreet.com logoStewart Charles Cohen, Getty ImagesTuesday was a hideous day. But how hideous? I think we're taking out the big winners and shooting them -- stocks like the ones I'm telling you to buy from here until the end of the year in pyramid-like fashion. There are big price breaks in stocks such as Google (GOOG) and Amazon (AMZN), and I think the jitters over the specter of earnings season are really playing havoc with them.


This is a tough time in the market. October always brings out the willies -- whether it's because five years ago the market was at a top or because we have seen a crash and a mini-crash in October. At times, the month gives you a clocking as mutual funds take profits before year's end.


It could be more pronounced than ever this year because funds may want to anticipate a change in the tax code so they can beat it at their fiscal year end, which is in four weeks for many funds.

Nothing is tougher than buying into a vicious sell-off -- like Tuesday, when Apple (AAPL) was down $12, Google was on its second plunge in a row and Amazon was taking a big header.


Many buyers want to be in only when the stocks are going up, not down. But I believe you have to leg in with your deep-in-the-money calls and, hopefully, hold out until January, then begin your buying.


Take your time. A few weeks from now, when the hoopla of the 25th anniversary of the 1987 crash dies down, I think you will be glad you did.


Jim Cramer TheStreet.com


Jim Cramer is a co-founder of TheStreet and contributes daily market commentary to the financial news network's sites. Follow his trades for Action Alerts PLUS, which Cramer co-manages as a charitable trust and is long AAPL.




More from TheStreet.com

Oct 10, 2012 12:00PM

"Don't forget alot of the nice petite chicks that will come with it !  For that matter, there should be an attractiveness requirement for any females desiring to enter this country."

Very cool - does that mean we get to send the teabagger chicks out of the country as not many of them would pass this requirement.
Oct 10, 2012 11:59AM
 "Preservation of Upper Class wealth is paramount in my mind"-- Ben Bernanke. The baseline starts there
Oct 10, 2012 11:58AM
Hey Cramer - after all the data coming out today about FBs shenanigans and how many institutional clients were warned about their revised revenue numbers BEFORE the IPO - did you have this information?

If so why did you not share it? And if you didn't why not? You also claim to be an "insider"
Oct 10, 2012 11:53AM

 MK 44 . This is how it works. The Fed gives no cost money to the banks  by the tens of billions each and every month and THEY buy oodles of Stocks with it instead of loaning it out to small businesses that inevitably go bust

 THAT way the portfolios of the Upper Class are enhanced and THEY have more trickle down cash to spend on ya'lls goods and services. Oh sure it doesn't actually work, but that is not the real pont of it all, now is it
Oct 10, 2012 11:53AM
Hey Thmblebrain - WHY don't you worry about Obuma implementing Sharia law into the US ?
THAT'S more likely than polygamy happening , if Obuma (GOD FORBID IT) get's re elected

Oct 10, 2012 11:51AM
If Cramer i and the headline the best a left wing site like MSN  can offer to keep markets inflated untl after the election and Obuma gets re-elected, you now things are bad.
Oct 10, 2012 11:46AM

 Discourage welfare moms..ELIMINATE deductions for dependents! Along with the mortgage interest tax loop hole. One discriminates against single people the other, renters. The budget will be balanced in nothing flat!
Oct 10, 2012 11:42AM

 Would I really care if Mitt proposed we legalized Polygamy again? Just as long as we get rid of the dependent tax deduction loophole
Oct 10, 2012 11:38AM
MK ---

Actually the Taiwan immigration change is likely part of a larger strategy in managing China.

The U.S. is going to have to let Taiwan go to China.  As the Taiwan is assimilated into the PRC system, the Taiwan citizens who don't want to live under the new "laws", will need somewhere to go.

Oct 10, 2012 11:34AM

 WAY too much expected of Biden tomorrow night. He risks coming off as shrill if he attacks and also putting his foot in his mouth. It will be spun as such regardless
Oct 10, 2012 11:31AM
MSN dictating how the market should behave ... right or wrong?.
Why is anyone writing anything about the markets?  What is the point?
It's all fraud.  Let's move on to something else here.

On the immigration front --- GOOD NEWS !

INS just dropped the visa requirements for Taiwan.

We will get a nice dose of productivity from a PREFERRED culture with good values.

Don't forget alot of the nice petite chicks that will come with it !  For that matter, there should be an attractiveness requirement for any females desiring to enter this country.

Oct 10, 2012 11:27AM

The oil found on US soil is put  into a world market pool  so YOUR refineries get to pay world market prices for it, not one driven by local supply and demand. Ain't free trade swell? Exxon sure as hell thinks so
Oct 10, 2012 11:24AM

Wonder what Jon Corzine GOLDEN PARACHUTE WAS ?  What will Jamie Dimon's be ?

Oct 10, 2012 11:21AM
Could the "Oct jitters" be tied into the upcoming , blockbuster Oct surprise in store for Dear Leader ?

Oct 10, 2012 11:20AM
 This election won't affect me at all.  The Medicare I am already on is sacrosanct and I ould care less about job creation
 Mitt  SAYS he has a Medicare means test coming just like I have always proposed so that anyone making, say, 150k a year will get nothing from Uncle Sam to pay for their medical care, whether they have put into the pot or not. Hey, times are tough and sacrifices need to be made

 So. like, be careful what you wish for in a new leader. And i'll bet the effective date for the New Medicare will be Jan 1 2014. If not 65 by that date you are covered by the New Medicare, not the old and will get a voucher to buy your OWN plan with . Not enough? Raise your damned deductibles until it is
Oct 10, 2012 11:19AM
Jim... I thought you went to Harvard? Bernanke has pumped the markets but failed to recover jobs. Creating jobs is a long and tedious process. Ripping deadbeat hired-in executives out of inherited businesses and re-installing the workforce lifts all ships. Congress failed us. Instead of going after terrorists, they made themselves millionaires. The best new investment for 2013? The giant HOLE we will be digging and burying college-bred brain-dead greed-motivated paper pushers and button pressers in.

Go get a REAL job, Cramer.

Oct 10, 2012 11:17AM

Where are Jim, Tim, and Franklin now?

Just in case you might have wondered how their ineptitude affected their
lives after they ruined so many dreams and lives.

Where are Jim, Tim and Franklin now?

Here's a quick look into the three former Fannie Mae executives who
brought down Wall Street.

Franklin Raines - was a Chairman and Chief Executive Officer at Fannie
Mae. Raines was forced to retire from his position with Fannie Mae when
auditing discovered severe irregularities in Fannie Mae's accounting
activities. Raines left with a "golden parachute valued
at $240 Million in benefits. The Government filed suit against Raines when the depth of the accounting scandal became clear.

Tim Howard - was the Chief Financial Officer of Fannie Mae. Howard "was
a strong internal proponent of using accounting strategies that would
ensure a "stable pattern of earnings" at Fannie. Investigations by federal
regulators and the company's board of directors since concluded that
management did manipulate 1998 earnings to trigger bonuses. Raines and
Howard resigned under pressure in late 2004. Howard's Golden Parachute
was estimated at $20 Million!

Jim Johnson - A former executive at Lehman Brothers and who was later
forced from his position as Fannie Mae CEO. Investigators found that
Fannie Mae had hidden a substantial amount of Johnson's 1998
compensation from the public, reporting that it was between $6 million

and $7 million when it fact it was $21 million." Johnson is currently under
investigation for taking illegal loans from Countrywide while serving as

CEO of Fannie Mae. Johnson's Golden Parachute was estimated at

$28 Million..

Raines works for the Obama Campaign as his Chief Economic Advisor.

Howard is a Chief Economic Advisor to Obama under Franklin Raines.

Johnson was hired as a Senior Obama
Finance Advisor and was selected to
run Obama's Vice Presidential Search Committee.

Kind of makes you sick to your stomach.
Our government is rotten to the core !

Are we stupid or what? Vote in 2012..it is the most important election
of our lives...

Barack Hussein Obama

President and " Commander of THIEVES ! "

Show This to those Americans who LOST THEIR HOMES !!!

Oct 10, 2012 11:13AM
It's called the middle east pump and dump. They buy our oil stocks and then send some guys out into the straight of hormuz to wave some guns around and jack up oil prices, then sell and reap profits. The suckers? You buying those oil ETF's. The victims..everyone that has to visit the pump.
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