your calls are sh*t. cramer's bullish <g>
You Can Be Bullish During Declines
By James J. Cramer
05/07/2003 01:46 PM EDT
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Time frame. Think time frame. The market can drop here. It can drop 200 points in a heartbeat. The Nasdaq can drop 5%, too. But so what?
Unless you are a daytrader, or someone who reports daily to a group of futures traders, so what. There are plenty of stocks worth buying. Plenty, and they will be even more worthwhile down from here.
That's the point. It is possible to decline and not be over. It is possible to decline and still rally after the decline. We are not in that stage now where we are about to unroll the whole rally.
Sure, if you are trading minute to minute, the decline could be savage. But if you are in shoes, with cash, you are hoping that it comes down so you can buy more cheaper.
Why is that so counterintuitive?
Not everything is perfect. Bonds, for example, are signaling that I am dead wrong about my view that the economy is getting better. Dead wrong. But I have no choice. I have to go with what I am hearing on conference call after conference call. I know that things are getting better in the real economy. I can't conclude otherwise. I think the bonds are wrong, not my homework. I can't go against my homework. I just can't. It has always cost me money.
So, I fight the bonds, and I like the stocks. I want the market lower so I can get better prices.
We have to get back to a world though, where a decline of a couple of hundred points isn't the end of the world and isn't a sin to sit through. Too many of you want to be out for 200 and then right back in. Man, nobody is that good, nobody.
Time frame. You can be bullish and expect a decline of 200 points. You can be. That's not counterintuitive and it is not wrong.
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