Take this market's volatility by the horns and harness it to pick up some bargains, Jim Cramer told his Mad Money viewers Wednesday. But at the same time, be ready for the next leg lower.

Cramer proclaimed that last year's market, the one that rose all year with practically no pullbacks of any kind, is officially over. The new, new normal is here, and that means the fundamentals of a stock matter a lot less than the mechanics of how the market works.

Stocks no longer pay attention to the opening and closing bells, they trade 24 hours a day. Every night, there are mini bull and bear markets happening that most investors never see. These huge swings are not being driven by the fundamentals of individual stocks, but rather by the rebalancing of instruments like the VelocityShares Daily Inverse VIX (XIV) , along with countless other double- and triple-levered instruments that must reset daily.

How little do the fundamentals matter in a machine-traded world? Take Walt Disney Co.  (DIS) , which reported a terrific quarter, but saw shares decline. Disney has strong theme parks, an even stronger movie lineup, great plans for ESPN and then there's that mega-merger with 21st Century Fox (FOX) .

Cramer even went bullish on Snap (SNAP) , which posted its first sequential quarterly growth since coming public.

Cramer and the AAP team think Raytheon (RTN) should continue to see solid long-term demand. Find out what they're telling their investment club members and get in on the conversation with a free trial subscription to Action Alerts PLUS.

Executive Decision: Hasbro

In his "Executive Decision" segment, Cramer again welcomed Brian Goldner, chairman and CEO at toymaker Hasbro (HAS) , which today beat on earnings, but with a sizable revenue shortfall that originally spooked investors. After the company's conference call however, shares closed up 8.8% on an otherwise down day.

Goldner had many positive things to say about his business, including strong growth in their franchise brands and also in gaming. Hasbro's entertainment licensing continues to be strong as well.

Goldner was most excited for his company's partner products, which include deals with Marvell, Star Wars, Transformers and more. The movie schedule is packed this year and Hasbro will have toys and merchandise ready for all of them.

There was even some excitement surrounding Monopoly, the classic board game that is constantly being reinvented. Goldner said Monopoly fans can look forward to a special "cheater's edition" coming later this year.

Cramer said he continues to be a big fan of Hasbro. 

Long-Term Trends for Defense Stocks

Even in a turbulent market, there are still opportunities with long-term secular trends, Cramer reminded viewers, and one of those trends continues to be the defense stocks. This group has soared over 40% since the election and they show no signs of slowing down anytime soon.

Cramer had three favorites in the group, including Lockheed Martin (LMT) , the aerospace company that now has over $100 billion worth of orders on its books.

Raytheon also made Cramer's short list, as this company makes missile and mission systems that are in demand all over the world. Raytheon also benefits from a lower tax rate.

Finally, there's Harris (HAR) , the electronics and communications systems provider that most investors have never heard of.

Cramer said he'd be a buyer of all of these great companies, especially into any market dips.

On Real Money, Cramer says these wild swings allow you to buy individual stocks at absurd prices if you are simply there, waiting. Get more of his insights with a free trial subscription to Real Money.

Executive Decision: Clorox

In his second "Executive Decision" segment, Cramer spoke with Benno Dorer, chairman and CEO of The Clorox Co.  (CLX) , which saw earnings miss both top- and bottom-line estimates this quarter due to a challenging environment for consumer packaged goods.

Dorer explained that rising commodity and transportation costs put a damper on earnings this quarter and has forced Clorox to put its "cost savings machine" back to work.

What matters most for Clorox, Dorer added, is the company's focus on the long-term and executing their strategy to serve their customers with new and innovative products. Clorox can also benefit from getting their products into a lot more households around the world.

Dorer was also excited about tax reforms, as his company is 83% based in the U.S. and will see their tax rates decrease from about 32% to just 24%. Those dramatic savings will be reinvested into their business, returned to shareholders and also used for acquisitions, Dorer said. 

Ask Jim

In his "Voice of Cramerica" segment, Cramer took calls from viewers to answer their questions.

When asked if ballooning federal deficits were the cause of the market's volatility, Cramer reiterated this week's breakdowns have everything to do with market mechanics and how machine-traded funds can wildly swing the markets in any direction.

Cramer was also asked for a strategy to scale out of stocks in order to buy a home in the next few months. He said that if you have gains, take a big chunk out now, but then scale out in increments to take advantage on any coming gains.

Lightning Round

In the Lightning Round, Cramer was bullish on Target (TGT) , Triton (TRTN) and Covanta (CVA) .

Cramer was bearish on Corcept Therapeutics (CORT) .

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At the time of publication, Cramer's Action Alerts PLUS had a position in RTN.

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