Skip to main content

NEW YORK ( TheStreet) --  Amid the storm of volatility washing over the markets, TheStreet's Jim Cramer sees opportunities in solid  dividend stocks like General Electric (GE) and Verizon Communications (VZ) .

"GE's dividend yields 4%, Verizon's yields 5% -- I like these stocks on the way down,' Cramer said. "I also like Procter & Gamble (PG) on the way down -- it has a 4% yield."

Shares of GE have fallen 17.7% since hitting their high on April 10. Verizon is off 11.6% since it topped out on April 28. Procter & Gamble shares have declined 24%  from their Jan. 22 high. All three stocks tumbled to new 2015 lows on Tuesday.

Cramer said investors should be using the strong stock market openings seen in recent sessions, where the Dow Jones Industrial Average opened with a triple-digit gain, to exit positions in stocks that don't work, such as many in the minerals and mining sector.

"When the market comes back down, you get into these accidental high yielders," Cramer said. "If you buy these stocks that yield 4%, the best thing that happens is they might yield 5% when you buy more." Cramer stressed the importance of dividend stocks in this volatile market. "It worked in 2008, and it will work now."

Meanwhile, in order for the market to find its footing, Cramer said a host of conditions need to be met.

"First, you need the Federal Reserve to raise rates and get it over with, which would result in a quick 3% to 4% drop, which is what happened in 2011," he said, referring to the selloff triggered by the debt ceiling crisis in the U.S. and sovereign debt woes in Portugal, Italy, Ireland, Greece and Spain.

Cramer said we also need to see the dollar stop gaining strength. "The dollar is going higher again, and that's a nightmare," he said. A strengthening dollar poses headwinds for U.S. companies with international exposure. Some 28% of S&P 500 companies derive more than half of their sales from overseas, according to FactSet.