Investors should pick at high-growth stocks at their currently discounted prices rather than swapping into value plays, CNBC's Jim Cramer said Tuesday after a volatile trading session.

"You have to go with FANG," the "Mad Money" host told a caller, referring to his well-known acronym for the stocks of Facebook, Amazon, Netflix and Google, now Alphabet. "You have a two-fold reason why to own stocks that people have given up on."

First, Cramer pointed to the Trump administration's trade dispute with the Chinese government, citing a speech written by Vice President Mike Pence that he said felt "very much like a containment speech against China."

The FANG cohort benefits from having very few ties to the Chinese market, Cramer said, with the use of Facebook, Netflix and Google's services almost entirely blocked by the government and Amazon facing a sprawling competitor in Alibaba.

Second, "the Federal Reserve is bent on squelching inflation wherever it can find it," the "Mad Money" host said, referring to the central bank's rate hike agenda.

The Federal Open Market Committee has indicated that it plans to raise interest rates once more in December and three more times in 2019, a plan that Cramer has repeatedly said could cause an economic slowdown.

"When that happens, the companies with the highest price-to-earnings multiples are the ones that benefit," he said.

Facebook's stock dipped in Tuesday's session, closing down 0.25 percent at $154.39 a share. Amazon's stock shed 1.15 percent, closing at $1,768.70 a share. Netflix shares gained 1.10 percent, ending the day at $333.16. Alphabet's stock also ticked up, closing 0.32 percent higher at $1,114.91 and climbing higher in after-hours trading.