Check out Jim Cramer's latest trading recommendations on "Action Alerts Plus".
NEW YORK (TheStreet) -- Should investors be piling into the bank stocks now that shares are off to the races and the analysts are finally upgrading some names?
Jim Cramer told Debra Borchardt at TheStreet.com that investors need to take a pause first and think before they pull the trigger.
Cramer said he's definitely a big fan of the banks, and even owns Wells Fargo (WFC) for his charitable trust, Action Alerts PLUS, but that doesn't mean he's willing to jump in and buy at the end of a big two-day rally.Cramer said his trading discipline over his many years has shown him the tail end of a big rally is the time to trim positions, not add to them. He said he likes Bank of America (BAC), but that doesn't mean the stock can't drop a quick $1 over the next day or two as at least some investors lock in their big gains. Cramer's advice: Look for value and wait for a better entry point. This may sometimes cost you, he noted, but sometimes it's better to say "I missed it" than to pay too much buying into a rally that's already happened. To sign up for Jim Cramer's free Booyah! newsletter, with all of his latest articles and videos, please click here. -- Written by Scott Rutt in Washington. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV