The "Fast Money" traders shared their investment strategies heading into August.
Trader Tim Seymour said oil refiners were defensive energy plays when commodity prices were lower and that it's likely that trade will work again. He said Valero Energy and Tesoro have attractive valuations at this point in the market.
Trader David Seaburg disagreed, saying he isn't a fan of the energy sector right now.
"I think you're going to maybe see a bounce in the commodities. It'll be a short-lived bounce and then it's going to sell off again," he said, adding that he would be a seller of energy, consumer staples and technology in the short term. Seaburg said the only sector he is looking at in the short term is biotechnology, despite the headwinds of political risks.
Trader Steve Grasso said he is holding JC Penney and that the retail sector has been written off by other investors.
Trader Guy Adami said that in the current environment, "gold still works."