The comments from the host of “Mad Money” came after Wall Street had another solid session to start the trading week, led by the 3% jump in tech giant Nasdaq.
“This is a classic example of why panic isn’t a strategy, unless you are deliberately trying to lose money,” Cramer said, referring to the advice he gave. after the closing of November 29.
On Tuesday, the large S&P 500 rose 2.07% and is now around 1% off its all-time high. The Dow Jones Industrial Average rose 1.4%, with the top three averages for US stocks posting their third positive day in four.
“I want you to use it to remind yourself that most of the time it’s better to wait for cold heads to prevail rather than panic in a situation where everyone is panicking and losing their minds without full information,” said To screw up. .
Markets sold off strongly on November 26, with the Dow, S&P 500 and Nasdaq all losing more than 2% in the cropped holiday session as investors around the world react to the discovery of the Covid omicron variant . Stocks continued to be volatile the following week, and major US averages ended the five-day trading period lower.
“Look, it would have been great if you had bought stocks near the lows – that’s what I urged you to do, actually, even if you had to cover your nose because we were just too oversold. I relied on techniques. Cramer said. “But the cardinal sin here was to sell stocks out of fear, rather than just sitting around out of rationality. “
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