CNBC’s Jim Cramer reviewed Friday’s market action, describing it as an “exquisite moment” where stocks initially declined but then rebounded by close. This rare occurrence can yield significant gains for investors who recognize the signs.
According to Cramer, these moments happen when the market is oversold and bearish investors demonstrate overconfidence. Key indicators include the MarketEdge S&P Oscillator, which shows excessive buying or selling activity, and positive economic data that counters previous downturns.
On Friday, the Dow Jones Industrial Average rebounded 1.18% after a difficult week, while the S&P 500 gained 1.09%. Cramer attributed some of this action to cooler-than-expected personal consumption expenditures price index figures and news contradicting previous rate cut expectations.
Investors can benefit from these “exquisite moments” by monitoring market conditions, economic data, and catalysts that counter previous downturns. By keeping an eye out for these signs, investors can pounce on opportunities when they arise.
Source: https://www.cnbc.com/2024/12/20/cramer-explains-how-to-spot-exquisite-moments-like-fridays-session.html