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Halftime: Key Levels to Watch on S&P

Stocks slid and the S&P 500 fell through a key technical level on Thursday amid global economic worries, suggesting more losses may be on the way.

Nearly seven stocks fell for every one that rose on both the New York Stock Exchange and the Nasdaq, in an indicator of the depth of the negative sentiment driving the sell-off.

What must you know? How should you position now?

Instant Insights with the "Fast Money" Traders

The S&P 500 on Thursday breached its 50-day moving average of 1,300, reports CNBC's Melissa Lee, leading "Fast Money" trader Guy Adami to take a risk-off approach.

The market is stuck in a trading range of 1,300 to 1,325, said Adami, managing partner at Drakon Capital. He thinks it's "somewhat encouraging" that the S&P has held on to the 1,300 level, though. Being as the CBOE Volatility Index is considered the best gauge of fear in the market, he also thinks it's positive the VIX hasn't "exploded" higher.

"I'm inclined to say we hold 1,300, but if we don't, I think 1,275 happens very quickly," Adami said.

Steve Grasso of Stuart Frankel also thinks 1,300 will hold. He would buy in the market.

"The real crucial level for me comes in at 1,275," Adami continued. "We break through there, a lot of these stocks that had been leaders will start leading on the downside."

The 1,275 level was the bottom reached during the Egyptian unrest, Grasso said. Should the S&P fall to 1,275, Grasso thinks it could then head to 1,228, which was the previous high reached in April 2010.

Grasso is watching the 1,294 level right now.

"If we do break 1,294, all bets are off. That's the Libya bottom," Grasso said. "That's where you want to readjust your portfolio."

Options trader Carter Worth said that should the S&P fall to 1,294, bearishness will set in. When the market realizes that oil isn't going higher, however, it will become bullish again and equities will start to climb.

Given the current market rotation, Grasso said people are starting to take money off the table. He thinks this could be the "perfect storm" for gold .

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POPS & DROPS

There were a lot of names in the red on Thursday, but the "Fast Money" traders spotted some market movers in the green, too.

Watch the video — on the left — to see what "Pops & Drops" caught their attention.

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HOW TO TRADE APPLE'S IPAD 2

Apple fans will be able to get their hands of the second generation iPad, a popular tablet device made by the technology giant.

So how should you trade it? The "Fast Money" traders have a few ideas. Watch the video to get their suggestions.

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Trader disclosure: On Mar. 10, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Guy Adami Owns (AGU), (C), (GS), (INTC), (MSFT), (NUE) and (BTU). Steve Cortes Owns (EXC), (PM) and (SDY). Steve Cortes is Short S&P. Steve Cortes Is Long Crude Oil. Steve Cortes Is Long U.S. Dollar. Steve Cortes Is Long UK Bonds. Steve Grasso owns (ASTM), (BA), (BAC), (BWC), (C), (CSCO), (JPM), (LIT), (LPX), (MT), (MHY), (NDAQ), (PFE), (PRST) and (S).

Comcast Is The Parent Company Of CNBC
Comcast Is The Parent Company Of NBCUniversal
GE Owns 49% Of NBCUniversal
GE Owns 49% Of CNBC

BRIAN KELLY
Accounts Managed By Kanundrum Capital Own (RTN)
Accounts Managed By Kanundrum Capital Own (XLF) Puts
Accounts Managed By Kanundrum Capital Own (XRT) Puts
Accounts Managed By Kanundrum Capital Own (EWJ) Puts
Accounts Managed By Kanundrum Capital Own (TLT)
Accounts Managed By Kanundrum Capital Own Natural Gas
Accounts Managed By Kanundrum Capital Own U.S. Treasuries
Accounts Managed By Kanundrum Capital Are Short Australian Dollar
Accounts Managed By Kanundrum Capital Are Short (EWJ)
Accounts Managed By Kanundrum Capital Are Short (XLF)
Accounts Managed By Kanundrum Capital Are Short (IXG)
Accounts Managed By Kanundrum Capital Are Short (EWJ)

STEVE GRASSO
Stuart Frankel & Co and it’s partners own (AMGN)
Stuart Frankel & Co and it’s partners own (CSCO)
Stuart Frankel & Co and it’s partners own (CUBA)
Stuart Frankel & Co and it’s partners own (GERN)
Stuart Frankel & Co and it’s partners own (HPQ)
Stuart Frankel & Co and it’s partners own (HSPO)
Stuart Frankel & Co and it’s partners own (MSFT)
Stuart Frankel & Co and it’s partners own (NYX)
Stuart Frankel & Co and it’s partners own (PFE)
Stuart Frankel & Co and it’s partners own (PRST)
Stuart Frankel & Co and it’s partners own (SDS)
Stuart Frankel & Co and it’s partners own (XRX)
Stuart Frankel & Co and it’s partners own (SDS)
Stuart Frankel & Co and it’s partners own (UAL)
Stuart Frankel & Co and it’s partners own (XRX)
Stuart Frankel & Co and it’s partners are short (QQQQ)
Stuart Frankel & Co and it’s partners are short (AAPL)

DAVID PALMER
UBS AG, Affiliates Or Subsidiaries Owned 1% Or More Of (SBUX) As Of Last Month's End
Palmer, A Member Of His Team, Or A Household Member Owns (SBUX)
(SBUX) Is Or In Past 12 Months Has Been An Investment Banking Client Of UBS Securities LLC
(SBUX) Is Or In Past 12 Months Has Been A Client Of UBS Securities LLC (Non-Securities Services)
UBS Securities LLC Has Recieved Compensation From (SBUX) In Past 12 Months

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