Cramer's 'Mad Money' Recap: March 12

This article was originally published March 12.

Click here for an archive of Jim Cramer's Mad Money recaps.


"I want you to stay the course. This rally is real," Jim Cramer told the viewers of his "Mad Money" TV show Thursday.

He said this time there's real news behind the market's upward momentum, adding "we're not done yet."

Cramer's said all along that he'd turn positive on stocks only when he saw real signs of improvement. He said ever since Lehman Brothers was put down like a dog, every day seemed to be worse than the one before, until this week.

"This week's been different," said Cramer, who noted seven positive reasons for the rally.

First, the retail sales numbers was better than expected as reflected in the results from Wal-Mart ( WMT) and at casual dining establishments like Brinker ( EAT) and Darden ( DRI). He said the consumer has risen from the dead.

Second, Bank Of America ( BAC) announced that it's profitable. He said banks are making money and are under less scrutiny from the Fed.

Third, General Electric ( GE), which he also owns for his Action Alerts PLUS portfolio, received its long awaited ratings downgrade and the stock rallied. He said this shows that all of the bad news is already baked into the stocks.

Fourth, takeovers are back. Just look at the pharmaceutical sector which is in shotgun wedding mode, he said.

Fifth, there are upside surprises in the tech sector such as in companies like Taiwan Semiconductor ( TSM).

The sixth positive is the rise in mortgage applications. As rates continue to fall, the housing bottom inches closer, said Cramer.

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