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Traders debate whether tech stocks will continue to fall

The "Fast Money" traders debated Friday whether its time to start buying opportunities in technology stocks.

The Technology Select Sector SPDR Fund fell more than 2 percent in the past week, as stocks that have made huge gains this year got pummeled. For example, Nvidia shares fell 6 percent this week, but are still up a stunning 168 percent so far in 2016.

The stronger dollar and rotation into financials and materials aren't the only things plaguing the technology sector, trader Guy Adami said. He argued that in a rising interest rate environment, the "need to own stocks with dividend yields have gone down and a lot of these tech stocks have great yields."

While the sector may continue to sell off for the next couple weeks, Adami said that there are interesting opportunities in the space. He said Cisco would be "extraordinarily interesting" if it falls to $27.50. Adami said he would also be interested in similar moves in Nvidia and Intel.

Trader Brian Kelly said investors should look at stocks with growth opportunity like Microsoft. He said that company also has a lot of cash overseas and could benefit if Donald Trump pushes for reform, allowing for repatriation of foreign earnings. Kelly said he is also interested in Google parent Alphabet.

Trader David Seaburg said that he likes Facebook because "it's trading at the cheapest [price-to-earnings ratio] it has since its IPO, 20 times next year's earnings." He said that "it's a stock that should be bought here."

Trader Steve Grasso said that "Amazon is where you want to be because Amazon is going to have the growth."


Disclosures:

STEVE GRASSO

Steve Grasso is long: BA, CC, CHK, EEM, EVGN, GDX, KBH, MJNA, MON, MU, OLN, PFE, PHM, SPY, SQ, T, TWTR. Grasso's children own: EFA, EFG, EWJ, IJR, SPY. No shorts. Grasso's firm is long: VIRT, WDR, FCX, ICE, KDUS, MAT, MJNA, NE, OLN, RIG, TAXI, TITXF, WDR, ZNGA, CUBA, HSPO, ICE, MJNA, TITXF.

DAVID SEABURG

Opinions expressed by David Seaburg are solely his own and do not reflect the views and opinions of Cowen Group, Inc. David Seaburg and Cowen have a financial interest in EDIT. Diamond Offshore: an employee of Cowen and Company, LLC serves on the Board of Directors of Diamond Offshore. EXPE, VA – Not Approved.

BRIAN KELLY

Brian Kelly is long Bitcoin, U.S. West Texas Intermediate crude futures, CLR, silver futures, GDX, SLV.

GUY ADAMI

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