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No, sadly, things have not gotten better, Cramer continued, but the market has a short memory.
Cramer said if you want to understand the market's behavior, you must first understand the behavior of professional money managers. Back in January, these managers rotated out of the hot sectors of 2013 -- leaving the lucrative techs and biotech stocks -- and rotated into the then-beaten-down groups, such as the soft goods makers and the industrials.
But now that money managers don't need to show their hands for another 90 days, Cramer said the same biotechs and cloud plays that were abandoned last week have once again come into fashion, especially given how cheap they've become.
That's why a stock like Facebook (FB) - Get Report, which Cramer owns for his charitable trust, Action Alerts PLUS, was able to rally nearly 4% Tuesday as that stock now trades as a scant 24 times earnings. That's also why Celgene (CELG) - Get Report, another Action Alerts PLUS name, and Gilead Sciences (GILD) - Get Report both popped as well.
Helping all these beaten-down stocks along will be the analysts, who have been curiously silent the past few weeks. Cramer told viewers to watch for them to emerge from their bunkers starting Wednesday when they will likely begin recommending investors follow the pros into these beaten-down stocks.
The pros have to play by rules, Cramer concluded, but once you know those rules it's easier to predict what's coming next.
Beware the Bubble
Is there a bubble forming? Cramer said that's a question he's been asked a lot recently. His answer? Yes, and no.
Cramer said that, overall, there's no bubble. The S&P 500 trades at an average 17 times earnings at the moment, and that's cheap by historical standards.
But that doesn't mean there aren't mini-bubbles forming in the 3-D printing stocks or the small biotech names or the cloud stocks, the latter two of which have seen a huge flood of initial public offerings recently.
Even the high-flying momentum stocks such as Netflix (NFLX) - Get Report and Tesla Motors (TSLA) - Get Report could be seen as "bubbly" because they simply ran too far, too fast and have been coming back to Earth ever since.
There are still opportunities out there, Cramer concluded. Investors just need to be ready to exploit them.
Off the Charts
In the "Off The Charts" segment, Cramer went head to head with colleague Carolyn Boroden about the overall direction of the markets, using the charts of the S&P 500 and the Nasdaq 100 as barometers.
Looking at a monthly chart of the S&P, Boroden noted the index has already passed her initial price targets while at the same time hitting time-based resistance. She noted that the market's rally from 2003 to 2007 lasted 60 months, while the current rally from 2009 to today now stands at 61 months, meaning a correction is due.
The S&P's weekly chart was also worrisome, as the average has a ceiling of resistance between 1,881 and 1,920. If the index fell below its February lows of 1,751, she felt the markets would be in serious trouble.
The Nasdaq 100 told a different story, however, as that index peaked on March 6, just as Boroden's timing suggested. The 16.8% retracement is also on par with her expectations. With a floor of 3,540 Boroden felt the Nasdaq could rally to 3,791.
Cramer said his interpretation of Boroden's work is that the markets are at a critical point, teetering on the edge where they could break either way.
In the Lightning Round, Cramer was bullish on Randgold Resources (GOLD) - Get Report, First Solar (FSLR) - Get Report, Winnebago Industries (WGO) - Get Report, Eli Lilly (LLY) - Get Report and Atmel (ATML) .
Executive Decision: Al Monaco
For his "Executive Decision" segment, Cramer once again welcomed Al Monaco, president and CEO of Enbridge (ENB) - Get Report, the oil and gas pipeline company whose shares have risen 13% since Cramer last checked in six months ago. Enbridge also currently yields 2.8%.
With over $18 billion in new projects planned, Monaco said Enbridge remains disciplined with its financing and will only be raising capital when it's needed while preserving its credit rating and access to the debt and equity markets. He said that with returns on equity expected to remain in the low double digits, investors can expect dividend boosts in the 10% to 12% range.
When asked about the controversial Keystone XL pipeline, Monaco said our continent needs all of the proposed pipelines in order to keep North American oil and gas in North America. Without them, Canadian producers will have to look to the coast and export their goods to China and elsewhere around the world.
Finally, Monaco commented on the economic benefits of pipelines. He said not only do they create jobs, but there are countless spinoff effects as pipelines require materials and equipment and maintenance, all of which are good for the economy.
Cramer said that when it comes to pipelines, he likes growth -- which is why Enbridge remains his favorite.
Executive Decision: Stanley Bergman
In his second "Executive Decision" segment, Cramer sat down with Stanley Bergman, chairman and CEO of Henry Schein (HSIC) - Get Report, the medical, dental and veterinarian supplier that's seen a 55% gain since Cramer last spoke with Bergman less than 18 months ago.
Bergman touted Schein's vet business as one of its keys to growth, noting his company is now the largest supplier to vets all around the world. He said a growing middle class is spending more and more money on their pets and want only the best care for them.
Another growth driver for Henry Schein is the dental implant business. Bergman noted that use of implants is growing around the world and new technology will eventually allow patients to get 3-D scans right in their dentist's office, where crowns and bridges can be made while you wait.
In the medical world, Bergman said more and more health care is being focused on prevention and wellness, and that means moving more procedures outside of hospitals, where Henry Schein is a primary supplier.
Cramer said investors looking for solid and consistent growth should look no further than Henry Schein.
To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.
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-- Written by Scott Rutt in Washington, D.C.
To email Scott about this article, click here: Scott Rutt
At the time of publication, Cramer's Action Alerts PLUS had positions in CELG and FB.