view transcript


In the August Action Alerts PLUS members' call, Jim Cramer talks about why he was "aghast" and "furious" with Facebook's earnings numbers.


52:33 2018 has been a volatile year so far.

Here are the trading lessons I have learned this year.

First, sometimes you just get had. That's all there is to it.

But lesson two is that you have to build in the possibility that you are being had, which means if the stock goes up on nothing, that's not worth betting on. That's wroth trimming.

Three is that to give back a big gain is always wrong, so it pays to take something off the table. Don't be greedy!

Four? If you have any one stock that is such a large part of your portfolio that it could make your portfolio swing on a bad day, it is worth trimming. You need to keep your head clear for the next opportunity, not blinded by a loss of outsized proportions.

Five? Never risk your big gain to chase a small profit.

Six is that when you hear rumblings from too many places, you have to cut the position before a company reports, simply because you don't know enough to keep you in, but you do know enough to have you go.

Seven is that even with perfect information about how a stock has traded and what it has done, you cannot always get it right so stop kicking yourself.

Eight. Do not sell into a maelstrom. There almost always is a better time.

Nine. Do not get emotional and do not sell into the vortex of people who don't know much about what is happening, or at least more than you do, but are taking action anyway. Don't think of the crowd as omniscient, you could know more than they do and they may be too zealous to offload their position with any precision.

Ten? When you get a rally and you don't care for a stock you have to be aggressive and upgrade that capital into better positions that you like much more..

And finally, 11, being beleaguered is not a good reason to sell. Remember there very well be smart people with fresh eyes who haven't experienced a paper loss in the company's shares-- not tainted so to speak-- and might be eager to build a position in the stock that you might hate.


55:14 OUT vital to what we try to do around here


Do you want more exclusive investing insight from Jim Cramer? Get 24/7 access to Jim's charitable-trust portfolio with a free trial to Action Alerts PLUS ! You can also watch all of Jim Cramer's New York Stock Exchange live shows on YouTube.

In the August Action Alerts PLUS members' call, Jim Cramer detailed the 11 lessons he has learned from the market thus far.

"2018 has been a volatile year so far," he said, but there are things he and his team have absorbed as a result. 

His first lesson is that "sometimes you just get had. That's all there is to it."

Facebook (FB) , are you listening

So listen now as he describes the ways the AAP team is evolving with the ever-changing times, since being nimble and open to new ideas is the key to success

Do you want more exclusive investing insight from Cramer? Get 24/7 access to Jim's charitable-trust portfolio with a free trial to Action Alerts PLUS! You can also watch all of Jim Cramer's New York Stock Exchange live shows on YouTube.