RealMoney Radio Recap: Bigger Is Better

A day after Monday's modest rally, the market is back down because of concerns about Thursday's Federal Reserve meeting, Aaron Task said on Jim Cramer's "RealMoney" radio show Tuesday. Task, co-executive editor of TheStreet.com, is filling in for Cramer this week.

Traders have had to ply this lagging market since early May, Task said, referring to the June 6 radio show, when Cramer advised listeners how to maneuver.

The market doesn't want to rally, because when it rallies, people panic and come in and sell, Cramer had said.

Panic is like a falling knife, he had said. If people try to catch it, they will get cut. Cramer had advised people to wait until the knife hit -- at least until the end of the day, to avoid being butchered.

"Don't cash in all your companies that are doing well," Cramer had said.

Cramer also had recommended staying diversified, saying that such a portfolio was the only prescription for staying in the game. And while it wouldn't entirely take away the pain, diversity would lessen it.

It certainly has been a choppy, down, volatile market since early May, Task said.

Since May, investors have wondered whether there has been a change in leadership in the stock market, he said.

For the past five years, Task said, small-cap and mid-cap stocks have dominated with better growth and stronger valuations than larger-caps.

But in the second quarter, that started to change -- or at least there is a perception of change out there, Task said, as this is the first time large-cap stocks have outperformed in several years.

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