Events drive the market now. That means when there is a negative headline, the market tanks. And when there is an absence of negative news, the market bounces, like it did on Thursday when it recouped much of the 206-point deficit in the Dow.
Jim Cramer is not sounding the all clear bell just yet.
The "Mad Money" host says the market bounced because it was oversold and the hedge funds gone wild have been margined out of the picture now. He thinks perhaps a better term for Thursday's market is complacency.
Some may think that all is well again, but that is why Cramer has his checklist. He is looking for a market with an investable bottom, not a tradable bottom. Until the items on his checklist are completed, problems are not resolved.
"Remember, I want to be opportunistic, and I want to make us as much money as possible, but I'm also willing to risk some upside if we don't have enough things going right to keep us from getting blindsided," added Cramer.
Let's take a look at Cramer's checklist and review the good, the bad and the ugly.