Cramer's show is just a vehicle for Insider Trading....

[jono5900]

It's very obvious that Insider Info is leaking from either Cramer or his underlings. How many times do you need to see a featured stock start drifting higher days before their appearance. And those that buy on his recommendations the next morning are the real suckers. Can't you see that your taking that clerk or back office guy from the featured company out of his shares that he bought illegally from insider trading when word got around the company that Cramer would be featuring them.
Suckers.......

[ki klempa]

Actually do you understand cramers shows is taped early, this is my take, Cramer only talks about the MOST ACTIVIE stocks at the beginning of the show, if you watch cnbc all day you will notice the most active stocks are already showing on the ticket every other stock (always mainly up).... so he talks about the most active because he wants to help us decide if it's a good buy or not... you may think it's the other way around, but inside trading is illegal and only applies if you work for that company and the news ISN'T PUBLIC YET... All he talks about is PUBLIC STUFF...so nothing wrong w/ that..............and i'm sure his attorney's wouldn't allow him to be sued or go to jail like martha..


tape cnbc all day (pay attention to the most active stocks on the up) and then watch cramer later that day I'm not wrong

Kim

[Pierre]

I see Cramer as just another system. As more people start following his trades the system eventually plays out. Towards the back end as more people jump on, you can play contrarian and make money. The good thing about Cramer is that his followers are growing which increases the pot. As a trader, first thing I try to figure out are who the players are...
You got the hard cores and the contrarians, then the pumpers and dumpers come out, pumpin the pennies ( they're the easiest to spot )...
The newbies ( sad to say ) are the easy money...
The professionals w/credentials on this site are pretty decent.
The professionals w/o credentials can be ruthless ( control freaks w/ delusions of grandeur )
The college students are the funniest... it sends a shiver up me spine knowing that these cats are gonna be runnin the country in 20 years...
The bottom line I never follow Cramer's picks, I do watch what his people are doing though and trade accordingly...
Cramer's take on the market is the most valueable thing to me. Like him or not he' pretty well connected. He lives breathes and eats this stuff...
Oh well... it's all good

[deepinwonder]

Cramer does a radio show during the day and often discusses stocks he's going to talk about that evening.

He also watches the news, earnings, etc, like ki klempa said.

He also sends a "Mad Money Minute" email to subscribers of thestreet.com and gives a preview on what's to come that night.

He also appears on CNBC during a "stop trading" segment at 3:30 pm est and makes more comments on stocks before the show.

He also allows callers to hang on the phone during his pre-taped show and some of them lie and trade on what they hear anyway.

This is not really about insider trading, so pay attention before you start slinging accusations around and acting like we are all as dumb as dirt. Not true. :o

[aj14]

Actually do you understand cramers shows is taped early, this is my take, Cramer only talks about the MOST ACTIVIE stocks at the beginning of the show, if you watch cnbc all day you will notice the most active stocks are already showing on the ticket every other stock (always mainly up).... so he talks about the most active because he wants to help us decide if it's a good buy or not... you may think it's the other way around, but inside trading is illegal and only applies if you work for that company and the news ISN'T PUBLIC YET... All he talks about is PUBLIC STUFF...so nothing wrong w/ that..............and i'm sure his attorney's wouldn't allow him to be sued or go to jail like martha..


tape cnbc all day (pay attention to the most active stocks on the up) and then watch cramer later that day I'm not wrong

Kim

You are VERY naiive.

[Jazen]

It is what it is, a very entertaining pump and dump.

[deepinwonder]

You are VERY naiive.

And you do not watch and read the news, everyday, or you would know that Ki Klempa's statement is correct. Cramer often picks up on stocks that have already had big news, insider trading or run ups, and then lets people know after the fact. Did that last night, in fact. :lol:

[aj14]

You are VERY naiive.

And you do not watch and read the news, everyday, or you would know that Ki Klempa's statement is correct. Cramer often picks up on stocks that have already had big news, insider trading or run ups, and then lets people know after the fact. Did that last night, in fact. :lol:

Yes, you are correct. Cramer opens his show with chatter about what's hot and what has moved during the day. Despite his admonitions to not do it, he chases groups and sectors (the oils or the engineers on the back of the hurricanes, for instance). Then, he gets into a couple of names that he likes...and that is where the fishy stuff begins.

[mdamia]

I noticed that even Greenberg kidded Cramer about being everywhere especially with the 60 minutes thing. Cramer made light of his new high profile image but it will be real interesting to see what effect a high visibility has on the way he conducts his show. I have noticed some of his "picks" start to move about 30 seconds into his 6pm show which is tape about an hour eariler. I think that is what the first post is really referring to. By the time I watch the show 9 pm West Coast it is really old news!! :-)

[aj14]

I noticed that even Greenberg kidded Cramer about being everywhere especially with the 60 minutes thing. Cramer made light of his new high profile image but it will be real interesting to see what effect a high visibility has on the way he conducts his show. I have noticed some of his "picks" start to move about 30 seconds into his 6pm show which is tape about an hour eariler. I think that is what the first post is really referring to. By the time I watch the show 9 pm West Coast it is really old news!! :-)

You're getting close. Are u ready? here's the scoop.
Each day in the early afternoon the names that he is going to talk about somehow get out. This list goes around the street...not every day, i don't think, but like today: look at the RADS chart just before 2 p.m. Suddenly for "no reason" the stock popped. The pros get long, and then sell em back to the suckers in the evening, up more than $1.00. On Monday morning, the rest of the longs awill be sold out into the mark up (because you all put market orders in--instead of limit orders), and traders get short, and then push em down. Now you know why most of his ideas don't turn into money makers, at least in the short term. It's shades of Dan Dorfman, only in the electronic world! Cramer will be gone in a year!

[deepinwonder]

Forbes did an article about this a while back, called "Funny Money." I'll post the link, again, in case anyone missed it:

http://www.forbes.com/home/management/2005/08/18/cramer-cnbc-madmoney-cz_pl_0819cramer.html

[mdamia]

Right on target I would say aj!!! The two touts I tried to get in on were Capstone and Evergreen Solar. In both cases I used limit orders slightly above the close price and guess what, no purchased. I refuse to chase a stock so I ended up with an unexecuted sale. Although had I gotten in at my price the pump and dump strategy would have paid off. The people who used market orders got burned most likely. Oh well, it is a jungle out there.

[K_smpth]

I suspect that some of his research assitants may be leaking the stocks he is going to mention to thier friends etc, so that they can buy those stocks before the show and sell it during the show to make a quick profit?

Every stock he talks about during the time before the Lightning round, goes up very substantially (some of them are so obscure).

[pmb1010]

but watch how these "featured stocks" also DROP a few minutes after being mentioned.

After market traders must sit and wait probably with 10,000 shares of -blank- on their brokerage's internet "buy screen".

Cramer says the stock. they type in the name, and execute.

Sit back for 3 minutes, and then resell the 10,000 shares. If it went up a buck they just make 10,000.

[Thierry Martin]

If you have ever tried this you would know how hard it is - there are so many people who want to make "free" money they cancel each other out. You could just as easily lose $10,000.

Most stocks, your buying 10,000 shares, would move the price, selling would do the same. If the stock is traded heavily enough not to be moved by your transaction, it probably can handle Cramer's mention.