Here’s the deal on oil and the volatility index

Goodbye, Fed rally days, and hello, economic growth days!

Jim Cramer is jumping for joy that the market is no longer reliant on the Fed to rally. While oil prices keep heading lower, he's happy that some good old-fashioned growth and profits are finally doing the heavy lifting.

On Tuesday, all three major U.S. indices were yet again on pace for their best quarterly gains of the year, and were spurred further by a 3.9 percent gross domestic product growth for the third quarter. That is the fastest growth the U.S. has seen in 10 years, and it gave the market a solid reason for rallying, leaving those Fed-reliant stocks in the dust.

"This market's backed by the full faith and credit of higher profits and better growth than we thought. It is spurred on by the consumer spending more money, something that the gross domestic product of this country, which is 70 percent consumer driven, totally affirms," Cramer added. "It is spurred by a sense of security, wealth and improvement that is making people more confident."

More confidence can be translated into more houses being built, more businesses starting up, and more hiring in our future—all good things.

Read MoreCramer: Adios, Fed rally market!

Turkey
SteveMcsweeny | Getty Images

So if the market keeps on rallying, what the heck is going on with the CBOE Volatility Index?

The VIX shows the fear for the market's expectation of 30-day volatility. The idea is that a low VIX is good news, because it indicates a low amount of fear of an inflammatory market.

So here is the issue: The volatility index is at historically low levels right now, at $12.25, and that's great … right? Maybe. What is strange is that the S&P ended near record highs on Tuesday, yet the VIX is more than two points higher than where it was the last time the S&P was making new highs.

To find out what is going on, Cramer went off the charts with Mark Sebastian, technician and founder of OptionPit.com to find out why traders are less comfortable with this rally. Sebastian thinks it is a simple answer: U.S. markets have a lot of noise around them right now.

Read MoreShould we fear the fear index?

Whenever Cramer sees a rookie IPO surging, he likes to investigate it a bit further, as is the case with Dave & Busters Entertainment. This part restaurant, part bar, part gaming center company surged 8 percent on its first day of trading and has gone up 27 percent since then.

"I think Dave & Busters is better than average and it deserves to trade at a premium, but I also recognize that at a restaurant slash entertainment play, it's somewhat difficult for money managers to categorize, which means it's less likely to get sponsorship from the Wall Street promotion machine," Cramer added.

So while it could be difficult to categorize, Cramer still thinks it is a good stock for investors to add to their shopping list going into the New Year. He foresees it could keep on going higher.

Another stock that Cramer thinks is headed higher, is Hain Celestial Foods. He has been a big proponent of the organic and natural food movement, and finally everyone is getting on board. Even Wal-Mart!

That is why Hain, the king of organic and natural foods, has roared up 13 percent in the past three months.

Cramer thinks the maker of popular brands such as Celestial Seasonings, Earth's Best, Terra and Garden of Eatin' and many more, could have more room to run. The "Mad Money" host is surprised that it hasn't been snapped up yet by a larger player in the industry.

To find out more, the "Mad Money" host sat down with Hain CEO Irwin Simon on Tuesday. Will Thanksgiving bring higher sales for Hain?

"It is amazing what I am seeing in the consumer today. How they want wellness, how they want health. They are willing to spend the extra dollars. One of the number one things selling at Whole Foods is organic turkeys. We will sell 1.5 million turkeys that are antibiotic free and organic," noted Simon.

Oil
Vincent Kessler | Reuters

Ahead of Thursday's OPEC meeting, and in light of the fact that so many things are going right in the U.S. economy–Cramer thinks it is time to talk oil prices, with a side of gravy.

There tends to be a mind frame among many that oil prices are wild and could go anywhere, that nobody knows what will happen.

Cramer is calling bluff and thinks maybe oil has finally reached its sweet spot.

With the economy in perspective, Cramer took out his crystal ball and is predicting that oil prices will not rise higher following the OPEC meeting.

The Saudis cannot allow oil prices to go lower than they already are without risking a break-up of OPEC. Even though, in Cramer's perspective the rest of the nations in OPEC are brainwashed into following the Saudi's to stop the U.S. energy independence, they know when to stop. In addition, the government budgets of Venezuela and Nigeria need prices to stay right where they are.

Onshore in the U.S., though our rules prohibit the exportation of oil from 48 states we can still export gasoline. This is keeping the world of oil in balance. Even the technology that we are using these days won't infringe on oil budgets, as long as they don't go lower than the mid 70's. Hence, the U.S. has the ability to maintain current prices even if OPEC decides that higher prices are the way to go.

"Most Americans I think believe that gasoline's down on a blip and will go right back up. But we are producing too much to have that happen," added Cramer.

He thinks that supply and demand are actually equal right in the mid 70's where it is now. So it looks like oil could have hit its sweet spot, and the "correct" prices are here to stay, give or take $5.

In the lightning round, the "Mad Money" host gave his take on a few caller favorites:

Alcoa: "I like Alcoa here. It's been stalled a little bit, but that's okay. It's gathering strength and I like the new company because it's much more aerospace related and I think it goes higher."

Advanced Micro Devices: "I don't want you to touch it. If you want to own a semiconductor company, I'm going to bless Skyworks Solutions, and that's the best. If you want to own one that has good yield then do Intel. I do not want you to touch AMD."