Strategy Session with the Fast Money Traders
I think there’s still room to the upside in this broad market rally, speculates Guy Adami, but if you’re not in -- you’re probably late. This is likely the 6th or 7th inning.
As for Google, the trade from the long-side is over, Adami counsels. The next move is to buy it on a dip. And if you’re looking at Hewlett-Packard which moved a lot on Thursday, I think this stock is overheated and I’d take profits. Also, keep an eye on NTAP .
The options action suggested Google would move in the aftermarket and it did, muses Pete Najarian. But I agree the trade is over. I think in the short term the stock struggles but in the long-term it does just fine. If the stock drops to $350 then I'd think about buying.
I’ve got my eye on Nokia , adds Tim Seymour. This company makes one third of all the phones in the world. I’d be long Nokia and short Ericsson .
I’m not sure, counters Pete Najarian. Nokia doesn’t really have a good grasp on the US market. Instead I'd keep an eye on Palm and RIMM.
If tech moves lower on Friday, I’d keep an eye on Oracle and Intel , adds Adami. Both are probably buys on any dip.
I like Cisco on a dip, adds Karen Finerman.
FINANCIALS REBOUND IN AFTERNOON SWING
JPMorgan added to the market tailwind after results beat analysts' expectations as debt trading and underwriting revenue surged. The results added to a string of encouraging results from other banks, including Wells Fargo's which showed strong preliminary figures last week.
I think investors believe the bottom is in for financials, speculates Karen Finerman. JPM's earnings release included a lot of negative news about credit card exposure and a few months of ago that kind of news would have sent shares tumbling.
Meanwhile, Regions Financial said it will post a first- quarter profit; comments pushed the regional banking company's shares up substantially.
I’m excited about Regions, says Pete Najarian. Their deposits are growing. I don’t think things are so bad for the regional banks.
If you want to play the financials I’d look at Greenhill , counsels Guy Adami. But don’t rush into this stock.
CONSUMER SHARES UP IN ‘09
The latest economic data released Thursday revealed a glimmer of hope that the economy could rebound by the end of the year; the number of U.S. workers filing new claims for jobless benefits unexpectedly fell last week. The Street may be taking it as a sign to start betting on the consumer -- shares of Consumer Discretionary SPDR ETF (XLY) are now positive for the year.
I wouldn’t get all fired up about the fall in jobless claims, counters Tim Seymour. I think the number was a bit of a head fake.
I think a lot of this move is a function of short squeeze, muses Guy Adami. If you’re looking for a trade you might want to think about shorting Harley-Davidson. I think you could play the puts.
Speaking of shorts, there’s a large short interest in Tiffany’s, adds Pete Najarian. I’m not sure what they know, but it just took off.
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Trader disclosure: On Apr. 16th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Seymour Owns (AAPL), (BAC), (EEM), (FCX), (GE), (RIG), (TCK); Adami Owns (AGU), (C), (GS), (INTC), (MSFT), (NUE), (BTU); Finerman's Firm Owns (UNH), (MSFT), (RIG), (PBR), (CSCO); Finerman's Firm Owns (WFC) Preferred; (C) Preferred; (BAC) Preferred; Finerman Owns (BAC) Preferred; Finerman's Firm Is Short (BAC), (WFC), (MDY), (SPY), (USO), (IWM), (IJR), (C); Najarian Owns (BX) Call Spread; Najarian Owns (PALM); Najarian Owns (RIO) Calls; Najarian owns (VAR) Call Spread; Najarian Owns (XHB) Call Spread; Najarian Owns (NTAP)
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