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.

 

 

 

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94Comments
Oct 10, 2012 11:38AM
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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
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 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
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MSN dictating how the market should behave ... right or wrong?.
Oct 10, 2012 11:27AM
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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
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Wonder what Jon Corzine GOLDEN PARACHUTE WAS ?  What will Jamie Dimon's be ?

Oct 10, 2012 11:20AM
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 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
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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 11:13AM
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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.
Oct 10, 2012 11:12AM
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the fiscal cliff - is just part of the austerity we are going to have to go through to solve our economic problems, so let's get it on!!
Oct 10, 2012 11:12AM
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Leave it to wall street to pimp the oil up ? And they want a recovery? Stable energy prices are the only way to keep the economy going! Wall street with their QE3 ? Thanks Ben you idiot! Keep the presses running at full speed! QE1 did nothing , QE2 did nothing , QE3 is the biggest joke of all ! Just goes to show that the FEDs are out of bullets. We do not have a free market system its a socialized wall street now...
Oct 10, 2012 11:10AM
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Patience till Nov:

Nov 8th Romney starts his 1st war Syria.

Nov  9th Romney starts his 2nd war Iran.

 

Nov 10th the stock mkt CRASHES.....

Oct 10, 2012 11:09AM
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Romney has said if he is elected, he will fire Ben Bernanke and stop QE. That certainly sound as if it could be a ticking time bomb for the lofty market valuations we have right now.
Oct 10, 2012 10:45AM
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So here they go jacking up oil again.That way gas goes sky high and they can spin "consumer spending"going up again to make that look good.
Oct 10, 2012 10:30AM
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Cramer doesn't get hardly any readers. 

 

>>>>>So this is where the crazies migrated...<<<

Oct 10, 2012 10:30AM
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BoBo kram quote -  "hoopla of the 25th anniversary of the 1987 crash dies down"

 

You should have to wear your red clown nose when you ink this kind of crap.

Oct 10, 2012 10:29AM
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the people in power want open borders for lowest wages. 

 

reagan did his amnesty 33 years ago.  from that ocurance the next flood surged over the line.  now we have the "dream act" and various off spring legal ideas.  except none of the power people will simply SAY the borders are now open. 

 

drive interstate 8 thru arizona (or look at it on a map) and you'll understand why arizona imposed their own rules.  if you can walk, you're in.  the rio grand "river" is a trickle.  no such thing as a **** anymore. 

 

the USA government has allowed arizona and other border states to become NEW MEXICO's without their own state approval. 

 

>>>>> the look the other way immigration policy from Mexico and Central America create a downward push on the American worker and his ensuing lifestyle.  <<<<<

Oct 10, 2012 10:20AM
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As long as markets are highly manipulated against investers and here are no real regulations coming because our represenatives are inside trading we wont trust Wall Street.
Oct 10, 2012 10:19AM
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BS - It has nothing to do with "October jitters" - it's all about the conniving special interests running the political parties, the super PACs and our criminally owned financial system trying to "win" the election...... these crooks know no bounds and will use any method(s) they can - buy, manipulate, lie, insurgency - to take over full control of the people, the country and soon to be, the world. The corporate owned political crooks are coming and hell's coming with them! The great plague is almost upon us....What's next - War and/or a World Rollerball Federation?.......These wannabe despots will stop at nothing......WAFJ
Oct 10, 2012 10:19AM
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The problems -

 

1. no Federal budget in over 3 years

2. NAFTA - now has a strangle hold on America - the loser in NAFTA - AMERICA

3. Uncertainty in the tax code

4. ObamaCare

5. 40 years ago - America has to be energy independent - 40 years later ZILTCH has been done

6. An inept Government - Congress would be fired in the public sector.

7. Off balance sheet unfunded liabilities  - Federal government on down to the local level - especially with unrealistic pension returns - Social security is called an entitlement -but we pay into it and your emplyer matches what you pay.  If that is the case, then life insurance is an entitlement.

8. An economy of over regulated and over taxed business environment making foriegn courtiers more attractive to do business in.

9. Dept. of Education - when formed in 1969, first school year - high school graduation rate about 70% - now it is about 72% - and many people with a high school education have not been taught the things that they really need to be able to survive in the real world.

10. A government that snubs the Constitution and Bill of Rights..

11. An administration that picks winners and losers and who has created a divided country with class warfare.

12. A President who is polar opposite of Rev. Martin Luther King - and has damaged race relations - starting with his Whitehouse beer summit.

13. A non enforced immigration policy for 40 years

Oct 10, 2012 10:10AM
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So this is where the crazies have migrated...
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