Buying After the Obituary Has Been Written

That's what Cramer likes to do with the Web.
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We are getting whole life cycles in a session these days.

America Online

(AOL)

started up 4 in premarket trading, then opened up 2 in New York, then went down 10 in a heartbeat to where it took out support and rolled over and played dead. Now it is back to 115, having completed a death-defying bottom.

You know what it feels like now? That everyone who had to sell has sold. That the hedging is all done and out of the way. That the capitulation/crescendo happened and the bottom has been put in. For today.

That's the problem with this market. If stocks can swing 20 or 30 points in a session, who can predict tomorrow? If you think AOL is looking good today, maybe it tacks on another 10 points. The notion of long-term investing seems almost quaint with moves like this.

That's why I like to buy them after the

Journal

/coroner pronounces, after a thorough examination, that the Web is absolutely, positively, undeniably dead.

'Cause it never is.

James J. Cramer is manager of a hedge fund and co-founder of TheStreet.com. At time of publication, his fund was long America Online. His fund often buys and sells securities that are the subject of his columns, both before and after the columns are published, and the positions that his fund takes may change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at

letters@thestreet.com.