After stocks took a massive nosedive on Monday, Cramer recommends investors consider two areas in particular: oil and gold.
When oil prices fall, Cramer said it’s often blamed on a lack of demand. Few accept it could be going down thanks to the hedge funds, he said. After all, money managers, who own oil through the futures or exchange-traded funds, are getting killed because they trade on margin and need to begin “liquidating like mad.”
“That’s why I think down here you gotta start looking at oil companies with high-growth,” Cramer said, adding he likes EOG Resources in particular.