GO
Loading...

Correction Casualty

The violent correction in the market this month took all sectors lower. Energy stocks came under pressure in particular because they had been such big winners and hedge funds sold them to raise cash. Traders, is now the time to pick up these correction casualties?

Carter Worth is Chief Market Technician for Oppenheimer & Co and he joins the panel.

Guy Adami believes this is a good time to buy energy stocks. In particular, he likes ExxonMobil (XOM) around $80 as a value -- he also likes Holy Corp (HOC).

Pete Najarian recommends companies in the oil services sector such as Baker Hughes (BHI), Tenaris (TS) and Smith International (SII) as well as Schlumberger (SLB) and Halliburton (HAL) .

Carter Worth concurs. He shows a chart (which is below) of the percentage change in major sectors since last Thursday’s sell-off. He explains that the energy sector has not rebounded yet, and he expects a bounce.

Percentage Change Since Last Thursday’s Sell-Off

Materials +13%
Financials +1%
Industrials +9%
Utilities +8%

______________________________________________________
Got something to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap! Prefer to keep it between us? You can still send questions and comments to fastmoney@cnbc.com.

Trader disclosure: On Aug 23 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money; Macke Owns (DIS), (ATVI), (HAS); Najarian Owns (GS) Puts; Najarian Owns S&P Puts; Oppenheimer & Co. Inc. Is A Market Maker In (MRVL)

Contact Fast Money

  • Showtimes

    Halftime Report - Weekdays 12p ET
    Fast Money - Weekdays 5p ET

Halftime Report

  • Bill Nygren, Oakmark Fund, explains why Apache, Bank of America and Google will be winners in 2015.

  • Nick Tiller, Sustainable America founder and chairman, tells CNBC's Kate Kelly oil prices are poised for a tradable rally. Tiller likes the Brent ETF and energy sector.

  • Discussing interesting trends contributing to the market's rally into year's end, with the FMHR trader Josh Brown and Dan Greenhaus, BTIG.