Mad Money

Cramer Remix: A real change from pain in 2016

Cramer Remix: A real change from pain in 2016
Cramer Remix: A real change from pain in 2016

Jim Cramer was happy to see that the market was finally able to pull off a three-day rally that encompassed all groups of stocks, except for utilities.

"Which is fine with me because any strength in the utilities is a sign of both desperation and recession," the "Mad Money" host said.

But does the terrific action on the averages mean that this rally is the real deal, or could the oversold position that stocks started from mean this is just a dead cat bounce?

With exception of the consumer packaged goods cohort, some investors could think stocks all bounced back because they were oversold.

"What I say is that we were in free-fall and that is no longer the case. Now we are basing with broad sector appeal," Cramer said. (Tweet This)

Cramer thinks this could be a foundation to build on — a change from the pain of 2016.

Read More Cramer: Is this rally just a dead cat bounce?

Shoppers enter the Nordstrom store April 1, 2003 on Michigan Avenue in Chicago.
Scott Olson | Getty Images

To help investors determine if this rally is just buying time or the real deal, Cramer went down the list of changes he saw that helped to get the market's mojo back.

While there were other news events, the biggest one for Cramer was the action in Apple. The company issued $12 billion in bonds to buy back more shares after Carl Icahn confirmed he sold 7 million shares. The last two times Apple came to the market, the stock roared.

When Cramer took a look at the compilation of all of the market's positive changes, he recognized that nothing is actually solving problems — just buying time. The only real trend was that they are all good things that happened to stressed out situations.

But when so many good things happen all at once, the impact can be tremendous to short-sellers who realize they may have overstayed their welcome. And some of the short-sellers could get greedy.

"Never forget: Bulls make money, bears make money, but pigs get slaughtered," Cramer said. (Tweet This)

Read More Cramer: The hidden signs driving stocks higher

Luxoft is a high-end information technology service provider that helps clients create custom software programs tailored to their needs. This includes everything from trading software at banks, to big data, connected cars and the Internet of things.

The stock has fallen more than 30 percent this year, partially because of the sell-off in high tech growth names and partially because of the quarter that many investors viewed as being not-so-great.

"A lot of the weakness here has to do with worries that problems with the banks will spill over and hurt Luxoft, which makes software for many financials, but I think the sellers are misunderstanding the relationship here," Cramer said.

To find out more, Cramer spoke with Luxoft's CEO Dmitry Loschinin.

"I believe Luxoft today is one of the most misunderstood stocks… I still really don't understand for that stock performance. Our business is as strong as ever. The momentum is there, our key verticals keep growing, our key accounts keep growing. So, an interesting development," Loschinin said.

Cramer has always recommended that investors have some exposure to gold, either through actual bullion, an ETF like GLD or a high quality miner like Randgold. Now that gold has finally woken up from a four year slumber, could it be poised to roar even higher?

"The precious metal is a terrific insurance policy against worldwide economic chaos," the "Mad Money" host said. (Tweet This)

To find out if gold has a bright future ahead, Cramer turned to Carley Garner, a technician and commodities expert who is the co-founder of DeCarley Trading, and Cramer's colleague at

Garner took a look at the results of the Commodity Futures Trading Commission's commitments of traders report. She used this report as a tool to find out how big institutional money managers are placing their bets in the gold futures market.

She found that in December of 2015, large speculators were net long only 20,000 futures contracts. Since that time the precious metal has rallied, and the net long position has increased to 100,000 futures contracts. However, Garner said she wouldn't consider the bullish position aggressive until it gets to around 250,000.

Meaning, if big money wants to bet on gold, there is still plenty of room on the sidelines. That could mean there is a ton of firepower left to send gold higher.

"I think this could be a terrific story, and if you don't already have some gold exposure, you might want to get ready to build a position," Cramer said.

Read More Cramer: Could gold be ready to roar higher?

Cramer also reminded investors that in order to be great, they must be aware of more than just individual companies. This means understanding cutting edge trends that could change the way an industry is viewed.

And with people living longer and healthier lives than ever, the health care industry is undergoing a big revolution. That is why Cramer spoke with Dr. David Agus, an oncologist and professor at the USC Keck School of Medicine, as well as the head of USC's Westside Cancer Center.

Dr. Agus is also the author of several books, with his most recent entitled "The Lucky Years: How to Thrive in the Brave New World of Health."

"I watch two to three people a week who die of disease, and I don't want to do that anymore. So it's about bringing new technologies and new ways of thinking, and changing healthcare … health and food are 30 percent of the U.S. economy, yet we don't talk about it," Dr. Agus said.

In the Lightning Round, Cramer gave his take on a few caller favorite stocks:

Carmax: "We did a look at these stocks, and they've gotten ridiculously oversold. Both Carmax and AutoNation. I know that the numbers aren't perfect, but I also have to come back to the fact that I think Ford and GM are too cheap. So I'm kind of warming up to this industry after... it's overly-hated. Let's just put it that way."

HCP: "An 8 percent yield. I don't like the news out of there. That's a red flag. We are going to stay away. We've got to have situations where the yield can be counted on."

Read More Lightning Round: A ridiculously oversold group