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Trader: Selling activity in Macy's, Gap & Nordstrom 'extreme'

After a down session for markets Tuesday, "Fast Money" traders debated whether some recently weak stocks have fallen too far.

After a nearly 1 percent drop on the day, the S&P 500 was barely higher for the year. Retail has broadly lagged the index, and the SPDR S&P Retail ETF has dropped nearly 6 percent this year.

Individual retail stocks Macy's, Nordstrom and Gap have fallen more than 13, 24 and 29 percent this year. Some of those losses came after a string of disappointing earnings in the sector.

Trader Tim Seymour called the drops in those stocks "extreme."

"These are things that I think are actually oversold here," he said.

Trader Guy Adami, meanwhile, touted a stock at another extreme. He said Newmont Mining shares, which have climbed 97 percent this year, are "just getting started."

Disclosures:

Guy Adami

Guy Adami is long CELG, EXAS, GDX, INTC, Guy Adami's wife, Linda Snow, works at Merck.

Brian Kelly

Brian Kelly is long BBRY, Bitcoin, GLD, US Dollar; he is short Australian Dollar, BLK, CS, DB, Euro, EWA, EWH, FRC, Hong Kong Dollar, IWM, UBS, Yuan, 5-Year Note Futures

Dan Nathan

Long PFE Long TWTR, Sept risk reversal WMT long May 65 puts GE long May 28 puts XHB long June put spread IWM long Sept 100 put XLB long June put spread XRT long June 45/38 put spread XLF long May/ Sept Put spread HYG long June put spread XLK long Sept Put spread FXI long aug put spred SMH long aug put spread, KO june / aug put calendar, long UA call calendar, long PYPL call calendar

Tim Seymour

Tim Seymour is long AAPL, AVP, BAC, BBRY, CLF, DO, EDC, EWZ, F, FCX, FXI, GM, GOOGL, GRMN, GE, GLNCY, INTC, LQD, MCD, MPEL, NKE, RACE, RAI, RL, SINA, T, TWTR, UA, VALE, VZ, XOM. Tim's firm is long BABA, BIDU, CLF, EWZ, F, HD, KO, MCD, MPEL, NKE, PEP, PF, SAVE, SBUX, SINA, VALE, VIAB, WMT, WEN, YHOO, short HYG, IWM, WYNN