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Tuesday's big market rally demonstrates why people should stay in the game and take advantage of buying opportunities, Jim Cramer told viewers of his "Mad Money" TV show.

"This rally gives us a week worth of good," he said. "We should be higher than we are now a week from today." However, he said the volatile market will swing back and forth, much like it did in the 1990s.

Cramer said short-term investors can make some money in this "treacherous and horrible" market. But he reminded investors not to buy into hope because the market hasn't bottomed yet.

Today's rally was the result of the market being dramatically oversold, he explained. He also said the market received a big lift from good news from such companies as


(GLW) - Get Corning Incorporated Report



(WMT) - Get Walmart Inc. Report


Goldman Sachs

(GS) - Get Goldman Sachs Group Inc. (The) Report

, which he owns for his charitable trust,

Action Alerts PLUS.

Cramer said he didn't hear anything today which makes him think the forces that lowered the market before won't come back after the market has recovered a bit. He believes stocks will go higher until the market gets overbought.

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TheStreet Recommends

For now, Wal-Mart's good numbers means that retail gets to win a bit. Cramer said people know he likes


(TGT) - Get Target Corporation Report



(KSS) - Get Kohl's Corporation Report



(COST) - Get Costco Wholesale Corporation Report


In addition,


(GME) - Get GameStop Corporation Report

should do well and

J.C. Penney

(JCP) - Get J. C. Penney Company, Inc. Report

, which reports Thursday, could pop, he said.



, which Cramer owns Action Alerts PLUS, and is the "worst-in-show," could also go higher.



(AAPL) - Get Apple Inc. Report


Research In Motion




(GOOG) - Get Alphabet Inc. Report

are all good, Cramer added.

Concerning the financials, Goldman Sachs "is going much, much higher," he said. But people should consider selling the brokerages and banks that haven't been working into the lift tomorrow.

"If you think the rally is fake, stay defensive," Cramer said. Either way, the market is still volatile, so be cautious.

Biotech Back in Vogue

During the 1990 market meltdown, high-growth biotechs worked, especially


(AMGN) - Get Amgen Inc. Report

, Cramer told viewers.

Now, after this five-day rally, these same stocks should come back in vogue and three biotech stocks stand out, he said.

The "more conservative" pair he likes is





(CELG) - Get Celgene Corporation Report

. "When the rally ends next week these should be the men standing," he said, noting investors should scale into these stocks, which he likes for 2008.

Celgene and Genentech both have drugs that seem to have promising advances in the pipeline, he said. Celgene's Revlimid drug, which treats blood cancer, holds promise for increased label expansion next year, he said.

Celgene, Cramer said, is a stock investors should consider buying before the American Society of Hematology's annual meeting in December. He said the stock should go higher because it has a 42% long-term growth rate although its last quarter wasn't so hot.

Genentech, he continued, has several successful drugs, including its "miracle cancer drug" Avastin that could be approved for other uses. The catalyst here is a meeting the

Food and Drug Administration's

Oncologic Drugs Advisory Committee will have on Dec. 5 to discuss Avastin. The meeting, Cramer believes, should bring great news.

Of the two, he prefers Celgene with Genentech a close runner-up.

Turn On Onyx

Cramer's favorite biotech and the one he feels is the Amgen of 2008 is

Onyx Pharmaceuticals


, a stock which hit its 52-week high on Nov. 7.

Its main drug, Nexavar, is used as an anticancer therapy and is "amazing," he said. Similar to Revlimid and Avastin, Nexavar is seeing label expansion and being used off-label to treat liver cancer. This, Cramer said, was a big part of why Onyx's last quarter was so "phenomenal."

While Onyx has the growth, it is riskier than Celgene or Genentech, which are bigger, more established and more profitable, he warned. Cramer recommended Celgene and Genentech for the more cautious.

Sudden Death

During the "Sudden Death" round, Cramer was bullish on

Marvel Entertainment



Marshall & Ilsley



First Solar

(FSLR) - Get First Solar Inc. Report


He was bearish on

Panera Bread



Yingli Green Energy



Mad Mail

In his "Mad Mail" segment, Cramer told an emailer he's increasingly concerned about


(PEP) - Get PepsiCo Inc. Report

because of the higher cost of raw materials.


(KO) - Get Coca-Cola Company (The) Report

came out and said their raw costs have peaked, meanwhile Pepsi wasn't able to say that, he said. Regardless, Cramer said he still considers Pepsi a good company.

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Lightning Round

Cramer was bullish on




Brocade Communications




(T) - Get AT&T Inc. Report



(VZ) - Get Verizon Communications Inc. Report





Ultra Petroleum




(APA) - Get APA Corporation Report


XTO Energy




(GOOG) - Get Alphabet Inc. Report


Dolby Laboratories

(DLB) - Get Dolby Laboratories Report


Integrys Energy



Consolidated Edison

(ED) - Get Consolidated Edison Inc. Report



(EXC) - Get Exelon Corporation Report


Cramer was bearish on

Nasdaq Stock Market






Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by

clicking here


For more of Cramer's insights during the Lightning Round, click here


At the time of publication, Cramer was long Sears, Goldman Sachs, NYSE Euronext and XTO Energy.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for, Inc., and CNBC, and a director and co-founder of All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of or its affiliates, or CNBC, NBC UNIVERSAL or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.