NEW YORK (TheStreet) -- The question on many investors' minds right now, halfway through an ugly week on Wall Street, is what needs to happen to get the market back in the green? When asked that by a viewer on Twitter, TheStreet's Jim Cramer had a long checklist.
First, Cramer said, "you're going to have to see the FXE... go over $110." The (FXE) - Get Report -- aka, the CurrencyShares Euro Trust -- is an ETF that trades on the NYSE and reflects the value of the euro priced in dollars. As such, it's a straightforward way to gauge how Europe is doing broadly.
Next, Cramer said, "We're going to have to see some bottom in China .... We have to see those stocks float a little more," given that trading in many Chinese stocks has been halted due to their recent rapid price declines.
Further, he says, "We have to see interest rates go under 2% ... because that will tell the Fed, 'please don't raise!'" and he thinks that is a signal the Fed will listen to. Finally, Cramer would also want to see good numbers in Alcoa's(AA) - Get Report earnings report after the close (but he doesn't think we'll get them), and good Walgreens(WBA) - Get Report numbers on Thursday as well. Overall, Cramer tells investors that doesn't like the setup now, and warns them to expect further volatility.
When asked to recommend either Disney(DIS) - Get Report or Apple(AAPL) - Get Report, Cramer advised investors to wait for a decline on Disney, but praised it as a longer term holding. As for Apple, Cramer said, "You're going to get a decline on Apple because 29% of their business is in China," which is in the midst of serious market turbulence. But regardless of China, and despite declining Apple watch sales, his advice was, "Own Apple, don't trade it." Cramer likes Apple under $120 and Disney under $110.
When asked for his thoughts on ATM manufacturer Diebold(DBD) - Get Report, Cramer responded that he likes the stock, and that it's very cheap. In the biopharmaceutical sector, which Cramer thinks "is not acting well right now," he most likes Receptos (RCPT) and Radius Therapeutics(RDUS) - Get Report . Cramer also favors Alder Biopharmaceuticals(ALDR) - Get Report , despite the recent competition it's facing in the migraine drug market from Allergan(AGN) - Get Report.
Finally, on Chinese company Vipshop Holdings(VIPS) - Get Report, Cramer said, " (JD) - Get Report [JD.com] and VIPS: You've got to wait for them to come down," but warned about the opaque nature of many Chinese companies' numbers. However, Cramer did say that if the Chinese market is allowed to decline as it should, then "that will get interesting." But he cautioned investors to "wait for that before you get involved with a VIP or a JD"'
At the time of publication, Jim Cramer's charitable trust Action Alerts PLUS held positions in AAPL and WBA.