The negativity in the market is reaching a fever pitch, said Jim Cramer on his "RealMoney" radio show Wednesday. That's usually a sign the market is nearing a bottom, he said. Cramer recommends checking your emotions and taking advantage of the negativity to do some buying Thursday or Friday, particularly in tech, he said. After Thursday, Cramer believes that it will be wrong to be short. It has become way too easy to be short, he said. Commenting on Microsoft ( MSFT), Cramer said the company is a growth stock priced like a value stock. In fact, Rich Pzena, fund manager of John Hancock Classic Value, of whom Cramer is a big fan, has been buying Microsoft for his fund, he said. "You should own it, too," said Cramer. JDS Uniphase ( JDSU) is a "changed and fixed company," said Cramer. Although it takes guts to buy JDSU in this environment, this is when you have to step up to the plate, said Cramer.
Getting in Shape
A caller asked how Cramer can be so sure negativity in the market is reaching a peak when in 2000, negativity continued to build and the market continued to fall. Cramer said that unlike 2000, the market -- especially the Nasdaq -- is not expensive. Also, we don't have an excess of public companies that don't have legitimate business models like we had then, he said. Furthermore, we don't have as many major fraudulent companies such as WorldCom or Enron like we had then. We do have a Federal Reserve that is intent on raising interest rates, and we do have inflation, he said. So, not all is well. But the Fed will eventually stop tightening, and when it does, we will be in much better shape.
Picks and Pans
In his weekly "Am I Diversified?" segment, Cramer said these things about stocks in listeners' portfolios.