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Pros: Banks Shouldn’t Take Down the Bulls

Thursday, 11 Apr 2013 | 5:54 PM ET
Are You Ready for Big Bank Earnings?
Thursday, 11 Apr 2013 | 5:15 PM ET
With the big banks reporting quarterly results as soon as Friday, the Fast Money pros reveal exactly what to expect.

No matter what obstacles pop up the bulls seem to dodge them and keep on running.

On Thursday stocks closed higher for the 4th day in a row with the Dow and S&P 500 again touching new all-time highs.

"It's amazing to me that we're already a few points away from our mid-year target of 1,600, which had seemed somewhat aggressive," said Leo Grohowski, chief investment officer at BNY Mellon Wealth Management in New York.

Although the market may be at record levels, the rally is not without skeptics. Bear argue that absolutely everything favors the bulls and that any negative catalyst is bound to send the market tumbling from levels they see as overextended.


And some bears believe that negative catalyst could present itself as soon as Friday. Both JPMorgan and Wells Fargo report earnings with other big banks soon to follow. The Fast Money pros, however, aren't so sure.

When Do Banks Report?
J.P. Morgan - April 12
Wells Fargo - April 12
Citigroup - April 15
Bank of America - April 17
Morgan Stanley - April 18


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Karen Finerman, president of Metropolitan Capital is making the ultimate vote of confidence. She's long JPMorgan, BofA and Citi going into earnings. "I don't expect much in the way of surprises," she said.

Looking at options activity, Jon Najarian, co-founder OptionMonster.com said big money isn't really betting on big moves – either way. "And with all that's happening in Cyprus and elsewhere, I think deposits have to be rising here in the US." (Read More: Cyprus Shows Banks Can Be Wound Down: ECB's Weidmann)


If you're looking for single stock ideas, Guy Adami, managing director of stockMONSTER.com suggests looking beyond the big banks. Instead he's a buyer of Blackstone. "That stock looks like it's breaking out."


Trader disclosure: On April 11, 2013, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders; Karen Finerman is long AAPL; Jon Najarian is long GRPN CALLS; Jon Najarian is long WAC; Jon Najarian is long CLHX; Jon Najarian is long LPS ; Jon Najarian is long NSM; Jon Najarian sold puts in GLD; Jon Najarian sold puts in JPM; Jon Najarian sold puts in JCP; Jon Najarian sold puts in MSFT; Guy Adami is long C; Guy Adami is long GS; Guy Adami is long INTC; Guy Adami is long AGU; Guy Adami is long MSFT; Guy Adami is long NUE; Guy Adami is long BTU; Tim Seymour is long AAPL; Tim Seymour is long BAC; Tim Seymour is long SBUX; Tim Seymour is long YUM

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  • Melissa Lee is the host of CNBC's “Fast Money” and “Options Action.”

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  • Najarian, the "Pit Boss," is cofounder of optionMONSTER.com, a news site for options traders.

  • Finerman is president of Metropolitan Capital Advisors, Inc., a company she co-founded.

  • Founder of EmergingMoney.com

  • Chief Market Strategist for Virtus Investment Partners & CNBC Contributor

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