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Pro Traders: June Brings Good Weather, Bad Market

With June just around the corner, optimism was ‘bustin’ out all over Wall Street Friday after the Thomson Reuters/University of Michigan survey showed consumer sentiment, income and spending were all on the rise.

Making the climate all the more appealing for investors, the dollar turned lower – with the weakness driving oil , metals and resource related stocks higher. (Rather than the greenback, it appears investors are turning to the Swiss franc as the world's "safe haven currency".)

On top of all that, the Financials ETF, climbed back above its 200-day moving average on Friday.

Considering the bullish trends - will June be a month of stock market fun in the sun?

According to Steve Grasso you'll want to break out the sunblock -- and the hedges -- because you may well need protection.

Time to put the whimsical puns aside, because if history is any indication - the market action in June may turn rather serious. Steve Grasso put together a chart of gains/losses during the month of June every year since 2007, and it's not promising. Take a look.

Year Move in the S&P 500
2010: -5.4%
2009: Flat
2008: -8.6%
2007: -1.8%
Source: Steve Grasso, Stuart Frankel

In other words, typically June brings good weather but a bad market.

Although Grasso concedes the current bias in the market is positive, he thinks we see a higher S&P next week – but then downward pressure as we get deeper into June.

Trader Steve Cortes largely agrees. In fact, he thinks the very same negative catalysts are lining up this June that took the market down last June. “Europe’s problems," he says. "We’re largely repeating what happened last year. I think we’re going to have a very tough June."

Trader Pete Najarian is a little more bullish – but just a little. He thinks the market wants to melt up in the near-term but he also thinks the S&P is range bound. “We’ve got a base around 1310 but it looks like the upper end is somewhere near 1330,” he says.

What do you think? We want to know!

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MONEY IN MOTION: CURRENCY TRADING

As we mentioned above, the Swiss franc is taking center stage as the world's "safe haven currency" with both the euro and the dollar hitting record lows against the franc on Friday.

How should you trade it?

Find out from Rebecca Patterson, JPMorgan asset management's chief markets strategist.

Watch the video now!



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Trader disclosure: On May 27, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Pete Najarian owns (AAPL); Pete Najarian owns (MOS); Pete Najarian owns (HPQ); Pete Najarian owns (MS); Pete Najarian owns (TCK); Pete Najarian owns (VLO); Pete Najarian owns (RSX); Pete Najarian owns (TEVA); Cortes owns (SO); Cortes owns (EXC); Cortes owns (KFT); Cortes owns (K); Cortes owns (WMT); Cortes is short Nikkei; Cortes is short EEM vs. S&P long; Cortes is short AUD; Cortes is long the EUR/JPY cross; Cortes is short (CAT); Cortes is short (DE); Grasso owns (AKS); Grasso owns (AMD); Grasso owns (ASTM); Grasso owns (BA); Grasso owns (BAC); Grasso owns (C); Grasso owns (D); Grasso owns (HOV); Grasos owns (JPM); Grasso owns (LIT); Grasso owns (LPX); Grasso owns (MHY); Grasso owns (NDAQ); Grasso owns (PFE); Grasso owns (PRST)

For Patty Edwards
Edwards owns (AAPL) for clients
Edwards owns (GLD) for clients
Edwards owns (POT) For clients
Edwards owns (SYT) For Clients
Edwards owns (MSFT) For Clients
Edwards owns (SLV) For Clients

For Steve Grasso
Stuart Frankel & Co and it’s partners own (ABX)
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 (MU)
Stuart Frankel & Co and it’s partners own (NEM)
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 are Short (QQQQ)
Stuart Frankel & Co and it’s partners are short (AAPL)

For Dennis Gartman
Funds Managed By Dennis Gartman own wheat
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