Big Stock Market Breakout Coming?

With the S&P marching upward and the Dow in striking distance of a bull market high, chatter on the Street had everything to do with the potential of a significant breakout coming as soon as Thursday.

On a bullish note, a string of catalysts triggered widespread optimism.
- The ADP jobs report came in better than expected.
- Concerns over Japan's nuclear crisis eased.
- M&A remained strong with Valeant making an unsolicited offer for Cephelon

Also, the Vix , Wall Street's favorite gauge of investor fear, dropped to its lowest level since Feb. 18.

However on a bearish note, trading volume remained weak and the S&P 500 failed to hold above 1,330, a level where selling has been clustered in the past month.

How should you position? What should you expect?

Instant Insights with the Fast Money traders

Joe Terranova thinks a break-out is very much in the cards. He suggests that by the end of this week, the market may get a string of very positive economic reports in the way of Chicago PMI, US ISM and the jobs report.

And Terranova believes other money managers share his outlook. He thinks recent gains are “a glimpse of money managers anticipating the next quarter.” In other words, what we may be seeing is investors getting ahead of the next leg higher.

Tim Seymour isn’t necessarily looking for a break-out, but he’s hardly bearish. He thinks investors are moving away from risk-off. In other words they’re embracing the stock market. Looking at patterns in the charts of the S&P he says key levels are “1305 and 1345, and we’re not there yet.” In other words, he thinks the market churns higher.

Trader Brian Kelly is watching 1333 on the S&P which he calls a level of resistance. He thinks the market is getting tired and points to a number of signals that he thinks telegraphs weakness. “Bonds were up, gold was up, copper was down and stocks were up. The odd man out in that list is the stock market. Be careful,” he says.

Guy Adam is also a skeptic. He too thinks 1333 on the S&P will likely prove to be a level of strong resistance.

Trader JJ Kinahan shares the concern. Options action in the Vix suggests to Kinahan that investors are looking for the fear index to pop which would correspond with a sell-off.

What do you think? We want to know!

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TOPPING THE TAPE: AMAZON

Shares of Amazon and Priceline led retail and tech higher on Wednesday on hopes of a consumer comeback.

What's the trade?

According to top-ranked Citi internet analyst Mark Mahaney Priceline remains attractive. "We like it up to $610," he says. "The mix of high growth markets including Latin America and Asia Pacific is under appreciated in the market."

Looking at Amazon, Mahaney says its cloud play could be a game changer. "The major advantage that Amazon has is that they're device agnostic," he says. "I think it's a very smart move."





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Trader disclosure: On March 30, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Kinahan Owns (GE) Through Stock And Options; Kinahan Owns (MOS) , Is Short (MOS) calls; Kinahan is Long (NFLX) puts; Kinahan is Owns (YHOO); Kinahan is Short (SPY) through Options; Kinahan Owns (CSCO); Kinahan is Long (TBT) through Options; Kinahan Owns (WAG); Kinahan is Short (XHB) Through Options; Kinahan is Long (MSFT) Through Options; Adami owns (AGU); Adami owns (C ); Adami owns (INTC); Adami owns (MSFT); Adami owns (NUE); Adami owns (BTU); Terranova owns (CNQ); Terranova owns (RSX); Terranova owns (CVI); Terranova owns (DIS); Terranova owns (AKAM); Terranova owns (JNPR); Terranova owns (XOM); Terranova owns (IBM); Terranova owns (TEVA); Terranova owns (BAX); Terranova owns (PBR); Terranova owns (MS); Terranova owns (UPL); Terranova owns ( C); Terranova owns (JPM); Terranova owns (VRTS); Terranova owns (GS); Terranova is long (AAPL) puts; Terranova is long (AKAM) calls

For Brian Kelly
Accounts Managed by Kanundrum Capital are long (EBAY)
Accounts Managed by Kanundrum Capital are long (GLD)
Accounts Managed by Kanundrum Capital are long (SLV)
Accounts Managed by Kanundrum Capital are long gold
Accounts Managed by Kanundrum Capital are long silver
Accounts Managed by Kanundrum Capital are long oil
Accounts Managed by Kanundrum Capital are long (VLO)
Accounts Managed by Kanundrum Capital are long (PGH)
Accounts Managed by Kanundrum Capital are long (NLY)
Accounts Managed by Kanundrum Capital are short copper
Accounts Managed by Kanundrum Capital are short (XLF)
Accounts Managed by Kanundrum Capital are long natural gas

For Joe Terranova
Terranova is Chief Market Strategist of Virtus Investment Partners, LTD
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (LPHI)
Virtus Investment Partners Owns More Than 1% Of (NCRI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLF)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (SUBK)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of (DOM)

Mark Mahaney
Citigroup Global Markets Or Affiliates Has Recieved Investment Banking
Compensation From (PCLN) In Past 12 Months
Citigroup Global Markets Or Affiliate Recieved Non-Investment Banking Compensation From (OWW), (AMZN), (EXPE) In Past 12 Months
(PCLN) Is Or In Past 12 Months Was An Investment Banking Client Of Citigroup Global Markets
(OWW), (AMZN), (EXPE) Is Or In Past 12 Months Was A Non-Investment Banking Client Of Citigorup Global Markets (Securities-Related Services, Non-Securities-Related Services)
Citigroup Global Markets Is A Market Maker In (PCLN), (AMZN), (EXPE)
Citigroup Global Markets And/Or Affilaites Has A Significant Financial Interest In Relation To (EXPE)

For David Amsellem
Piper Jaffray Or Affiliates Own 1% Or More Of (ACRX)
(ACRX), (PCRX), (SOMX) Have Been Investment Banking Clients Of Piper Jaffray In Past 12 Months
Piper Jaffray Expects To Have (ACRX), (PCRX) As Investment Banking Clients In Next 3 Months
Other Conflicts For (ACRX), (PCRX), (SOMX): Underwriting
Piper Jaffray Is A Market Maker In (ACOR), (ACRX), (CEPH), (DRRX), (ENDP), (IPXL), (ISPH), (OMPI), (PCRX), (SHPGY), (SLXP), (SNTS), (SOMX), (TEVA), (XNPT)
Piper Jaffray Usually Provides Bids And Offers For And Will From Time To Time Buy And Sell On A Principal Basis: (AGN), (BVF), (FRX), (MRX), (VRX), (WPI)

For Mike Khouw
***No Dislcosures On RRC

For John Sanow
**No Disclosures

Alexandra Lebenthal
**No Disclosures

For Jesse Eisinger
**No Disclosures

Comcast Is The Parent Company Of CNBC
Comcast Is The Parent Company Of NBCUniversal
GE Owns 49% Of NBCUniversal
GE Owns 49% Of CNBC




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