NEW YORK ( TheStreet) -- "This market has more ways to win than a casino," Jim Cramer told his "Mad Money" TV show viewers on Wednesday. He said the averages only tell part of this market's remarkable story. He said hostile takeovers are just one way to win, as Illumina ( ILMN) proved today when it received a hostile bid after languishing for months. He said there's also money to be made in what he called the "reversal trade," betting that the markets will rebound after a down opening. This was also proven today, he said, as the market created countless intraday bargains. There's even money to be made on downgrades, as Goldman Sachs ( GS) showed investors today. That stock finished nearly flat on the day, despite a downgrade that just a few months ago, would have sent the stock down for days. Cramer said the ways to win also include "faux" earnings misses, earnings that are reported as bad, but are actually good. Investors can also win with commodities, as gold and copper proved today when both opened lower, only to fly into the close. And finally, there's Apple ( APPL), a stock which Cramer owns for his charitable trust,
Bakken Shale Oil BoomIn the "Executive Decision" segment, Cramer once again spoke with Harold Hamm, chairman and CEO of Continental Resources ( CLR), a stock that's up 58% since Cramer first recommended it on Aug. 24. Continental reported a 57% year-over-year increase in production earlier today as well as a bump in its proven reserves, news that sent shares up 11.1% to a new all-time high. Hamm said that oil production in the Bakken shale region of North Dakota is up 26% since just last August when Cramer visited the regions. He said that North Dakota is now the fourth largest oil producing state in the union and will be second in the next 12 months. Additional, Hamm noted that the oil coming out of the Bakken is of the highest quality and is just what America needs. When asked about President Obmama's stance on the Keystone XL pipeline, Hamm said that America needs both increased domestic production and the Keystone pipeline to bring in additional oil from Canada. He said that America is making tremendous strides towards energy independence and the goal of an energy independent North American continent by 2020 is now totally within our grasp. Cramer said that Continental continues to be the "real deal" and he recommended taking profits after the stock's big run up today, adding investors need to buy more on any weakness.
Recipe for SuccessFor the another installment of his "Breakthrough Medical Stocks," Cramer recommended the beleaguered stock of Johnson & Johnson ( JNJ), a company whose CEO is on Cramer's "Wall of Shame" and a stock that underperformed the market last year, up just 6%. Why would Cramer recommend a company with such an awful recent history? "Rock bottom," he explained. Cramer said that after years of recalls and downgrades, the bar is finally set so low that J&J can go higher, even inspite of itself. In its pharma division, which accounts for 37% of sales, Cramer said most of the pains associated with patent expiration are now in the past. And with blockbuster new drugs in the pipeline for Alzheimer's, diabetes, prostate cancer and Hepatitis C, Johnson & Johnson gives investors multiple ways to win. Similarly, in its consumer products division, most of the recalls and production issues are also in the company's past, and plans are in place to re-introduce many brands by the end of this year. Johnson & Johnson's medical devices business is also on the mend, thanks to a large acquisition that will once again make it a leader in the space. Put all of these things together, said Cramer, along with the company's 3.5% dividend yield and long history of dividend raises, and investors have a recipe for success in 2012, in stark contrast to that of 2011.