Cramer's 'Mad Money' Recap: China Pullback Plays

Click here for an archive of Cramer's "Mad Money" recaps.

---

"No area has attracted more interest than China since the beginning of 'Mad Money,'" Jim Cramer told viewers on Wednesday.

Cramer said he believes that China is a "nasty" place to invest in because it has a government that Cramer doesn't trust. But because it's the week of his 500th show, despite his reticence to invest there, Cramer said he's giving his viewers what they want.

So, on this night only, kicking and screaming, Cramer is telling people how to play China so they do it right.

Cramer, who dedicated Tuesday's entire show to big pharma, said that tonight, he's going to give people a double dose of Chinese stocks: the stable, reliable variety and the risky, exciting and speculative names.

But he stressed that market players must wait for a pullback before buying any of these stocks.

Cramer named CNOOC (CEO Quote), China Mobile (CHL Quote) and Seaspan (SSW Quote) as his "big three Chinese plays."

"Don't buy these now," he reiterated. "Wait for weakness, then buy."

CEO is the No. 1 offshore driller in China and is partly owned by the Chinese government, which means it has "serious anticompetitive advantages," Cramer said.

Plus, in 2008 and 2009, the company should have a 30% increase in production. Although CEO's 3.2 % yield isn't comparable to the 10-Year Treasury's, the stock should see some upside if buyers purchase the stock after it pulls back, he said.