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Did Apple Ring In The Top Of This Market?

Did Apple ring the bell for the top of this market? That’s the question perplexing the Fast Money desk after a string of tech names failed to dazzle.

In extended trade, the gang was faced with a plummeting eBay, a diving Netflix and an even worse Qualcomm – with all the weakness triggered by disappointing results.

That after Yahoo! and AT&T dragged down stocks during the session.

Take a look at what crossed after hours:

- EBAY

Ebay shares tumbled as much as 8% in late trading after the company's profit outlook for the current quarter fell far short of estimates and it handed in a full-year outlook that also disappointed.

For more coverage of eBay earnings click here

- QUALCOMM

Although Qualcomm beat expectations, the company gave a weak outlook for the current quarter and the year, sending its shares down more than 8%.

For more coverage of Qualcomm earnings click here

- NETFLIX

After the bell Netflix posted higher first-quarter profit on Wednesday, beating Wall Street's expectations, but its shares seesawed after hours as revenue disappointed some investors.

For more coverage of Netflix earnings click here

What should you make of it?

Strategy Session with the Fast Money traders

It seems to me that in-line earnings just aren’t strong enough for this market, says Pete Najarian. If you can’t knock the cover off the ball, the Street will take your stock down. But that doesn't mean investors should run for the exits. The action in this market makes all the sense in the world to me considering so many stocks - such as Freeport - have experienced huge runs.

I believe the market is at an inflection point, counters Joe Terranova. Personally I expect risk to be taken off the table. I'm seeing inventories build, contango coming into the market and Europe shutting down. All that points to a pullback. Not a deep dive but a pullback.

I agree that the market is exhausted says Tim Seymour. Yes I think there’s reason to take profits but no, I don’t see a need to run for cover.

I think weakness in the market stems from the eBay results, muses Gary Kaminksy. They took down guidance significantly and I think investors are taking profits now and asking questions later.

If you're looking for a trade put Neflix on the radar, says Brian Kelly. If you dig down in the report, you’ll see full year guidance is actually higher.



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AFTER HOURS ACTION: STARBUCK

Earnings news wasn’t all bad. On Wednesday Starbucks reported a profit that topped analysts' views and boosted its 2010 profit forecast as a healing U.S. economy brewed up an increase in customer visits and sales.

Shares of the company rose about 1 percent on the news.

Looking more closely at the numbers, Starbucks' net income jumped to $217.3 million, or 28 cents per share, for the fiscal second quarter, from the year-ago quarter's profit of $25 million, or 3 cents a share.

What’s the trade?

If the stock breaks above $26, technically it's a break out signal, says Brian Kelly.

> For more coverage of Starbucks earnings click here

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BREAKING NEWS: GOLDMAN FRAUD CHARGES COINCIDENTAL

In breaking news, host Melissa Lee tells the desk that SEC Chair Mary Schapiro issued a statement effectively saying the charges brought against Goldman were not politically motivated.

The release triggered questions on the desk with Gary Kaminksy wondering why Schaprio would make that kind of statement – unless it was, in fact, politically motived.

Though many of the traders on the desk see the comments as a sign that the SEC doesn't have much of a case against Goldman, Anthony Scaramucci of Skybridge reamins cautious.

I’d be very worried if I were inside Goldman, says Scaramucci. You can’t be in a lawsuit with your regulator and not be concerned.



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Trader disclosure: On Apr 21, 2010, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Terranova Is Short June 2010 Crude Oil; Terranova Is Long December 2011 Crude Oil; Terranova Is Short Australian Dollar; Terranova Is Short Japanese Yen; Terranova Is Short Gold; Terranova Is Short (PCLN); Terranova Is Short (BRE); Terranova Is Long Japanese Yen; Terranova Owns (C), (XCO), (SWN), (TER), (HES), (AXP), (XCL); Terranova Owns (C) May Calls; Scaramucci Owns (GS), Skybridge Owns (GS); Najarian Owns (C) Calls;Najarian Owns (CLF) Call Spread; Najarian Owns (GLW) Call Spread; Najarian Owns (MRVL); Najarian Owns (UNP); Najarian Owns (YHOO) Call Spread; Kelly Owns (CXW) Calls; Kelly Owns (FXE) Puts; Scaramucci Owns (CIT), Skybridge Owns (CIT)

For Joe Terranova
Terranova Works For (VRTS)
Terranova Is Chief Market Strategist Of Virtus Investment Partners, Ltd.
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (IGE)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLI)

For Mike Khouw
Cantor Fitzgerald & Co. Is A Market Maker In (MSFT)

For Brian Kelly
Kanundrum Capital Is Short (STT)
Kanundrum Capital Is Short (MCO)
Kanundrum Capital Is Short (DB)
Kanundrum Capital Owns (SRCL)
Kanundrum Capital Owns (CCI)
Kanundrum Capital Owns (S)
Kanundrum Capital Owns (SRCL)
Kanundrum Capital Owns (MORN)
Kanundrum Capital Owns (RAX)
Kanundrum Capital Owns (TLT)
Kanundrum Capital Is Long U.S. Dollar
Kanundrum Capital Is Short Euro
Kanundrum Capital Is Short Yen
Kanundrum Capital Is Short Swiss Franc
Kanundrum Capital Is Short (EWH)

For Jared Levy
Peak6 Investments Is Long And Has An Options Position In (GS)
Peak6 Investments Is Long And Has An Options Position In (JPM)
Peak6 Investments Is Long And Has An Options Position In (BAC)
Peak6 Investments Is Long And Has An Options Position In (CBI)
Peak6 Investments Is Long And Has An Options Position In (WFC)
Peak6 Investments Is Long And Has An Options Position In (AAPL)
Peak6 Investments Is Long And Has An Options Position In (LLTC)
Peak6 Investments Is Long And Has An Options Position In (TXN)
Peak6 Investments Is Short And Has An Options Position In (MS)
Peak6 Investments Is Short And Has An Options Position In (XLF)
Peak6 Investments Is Short And Has An Options Position In (MCO)
Peak6 Investments Is Short And Has An Options Position In (STT)
Peak6 Investments Is Short And Has An Options Position In (RIMM)
Peak6 Investments Is Short And Has An Options Position In (BRCM)
Peak6 Investments Is Short And Has An Options Position In (SWKS)
Peak6 Investments Is Short And Has An Options Position In (FCX)
Peak6 Investments Is Short And Has An Options Position In (EBAY)
Peak6 Investments Is Short And Has An Options Position In (AMZN)
Peak6 Investments Is Short And Has An Options Position In (SBUX)
Peak6 Investments Is Short And Has An Options Position In (SRCL)
Peak6 Investments Is Short And Has An Options Position In (QQQQ)

For Mark Mahaney
Citigroup Global Markets Or Affiliates Owns 1% Or More Of (NFLX)
Citigroup Global Markets Is A Market Maker In (NFLX)
Citigroup Global Markets Or Affiliate Received Non-Investment Banking Compensation From (AMZN) In Past 12 Months
(AMZN) Is Or In Past 12 Months Was A Client Of Citigroup Global Markets (Non-Investment Banking, Securities-Related Services)
Citigroup Global Markets Is A Market Maker In (AMZN)
Citigroup Global Markets And/Or Affiliates Has A Significant Financial Interest In Relation To (AMZN)



CNBC.com with wires

Symbol
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EBAY
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FCX
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NFLX
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QCOM
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SBUX
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T
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YHOO
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AAPL
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