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Safe Havens Not Safe?

Find out why one chart expert says traditional defensive names may not be your best bet as recession looms.

Oppenheimer Chief Market Technician Carter Worth joins the panel for this conversation. Following is a synopsis of his main points.

Conventional wisdom suggests that when the market is kind of dicey you want to get into defensive names, says Worth. But I would make the opposite bet. Charts suggest to me to stay away from Coke , Pepsi and McDonald’s among others.

A better place to be is coal, counsels, Worth, a sector that’s working.

How would you trade it?

Check out International Coal Group , he says, because it’s been a laggard in this otherwise robust sector and should catch up.

I like the trade, adds Pete Najarian.

I’m terrified of it, counters Jeff Macke. Laggards can also be losers.

For an in-depth look at the charts used in this analysis please watch the video.

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Trader disclosure: On Apr .7, 2008, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Macke Owns (YHOO), (MSFT); Pete Najarian Owns (AAPL), (NOK), (YHOO), (NVS), (XLF); Pete Najarian Owns (AA) Calls, (CHK) Calls, (MSFT) Calls, (BHI) Calls; Finerman Owns (GS); Finerman's Firm And Finerman Own (CROX); Finerman's Firm Owns (FLS), (MSFT), (YHOO); Finerman's Firm Is Short (IYR), (IJR), (MDY), (SPY), (IWM)