How to Buy at a Market High Without Losing Your Shorts

NEW YORK ( TheStreet) -- Isn't it comforting to know we don't need to worry about the government shutting down or how high the debt ceiling can rise for three whole months?

Mr. Market saw this outcome for almost a week before the "all clear" signal was sent forth. That's why the S&P 500 was at a new 52-week high as of Thursday.

Many Mom and Pop investors and traders are wondering (and I speak with some of them daily) if it is too late to fish in the high tides of the oceanic U.S. stock market. After all, the U.S. stock market has risen nearly 30% in less than a year. How high can it go, and will it take a big dump first?

All I can say is, as Jim Cramer has often said, "Don't fight the Fed" and "The trend is our friend." No one knows for sure where the market averages will be tomorrow or next week. We take the markets one day at a time and look to save money and make profits.

Those of us who follow Cramer's charitable portfolio, Action Alert PLUS, wish we'd followed some of the recent stock recommendations that he and co-manager Stephanie Link made before this fantastic leg-up in the markets.

On Monday, they bought shares of Noble Energy ( NBL) at $67.06.

Noble Energy is an oil and gas producer in the U.S., Equatorial Guinea and Israel. Fifty-seven percent of its production is U.S.-based, and 31% is derived from North American natural gas. It's one of the largest energy exploration-and- production companies in the world.

As I write, shares of NBL are trading up over 5% and intra-day hit a 52-week high of $70.78. This is just one example of some of the gainers Jim and Stephanie have experienced over the past week, when many investors were like deer in the headlights and unwilling to invest until...

So what can investors and traders do when the markets are exuberant?

First, you may want to sell into this if you are over-exposed to the market. You should know the appropriate asset-allocation strategy that's best for you and also have cash to buy the dips.

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