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Karen Finerman: Market Getting Closer to the Wall

Stocks slipped on Thursday after a major aftershock in Japan gave already jittery investors a reason to sell.

By the end of the session the S&P was again sitting at 1333, a key technical level, that had been a point of strong resistance in March and early April.

Considering the market momentum appears to be sputtering out very near the S&P’s bull market high, is this a sign of the top? Or can it keep rising?

Instant Insights with the Fast Money trader

Pete Najarian's bias is bullish. He says that even though the Vix spiked on the news out of Japan, bellwether Goldman Sachs climbed and Morgan Stanley and Citi went along for the ride. As a result, the XLF traded above its 50-day moving average. Rally skeptics had said they couldn't get behind recent gains unless the financials participated. "Well, they're participating," he says. Najarian takes that as a bullish sign.

And one day ago, Najarian spotted another bullish sign, a larger than usual volume of calls trading in the Russia ETF. Because the ETF is largely made up energy and materials he takes the strength as a sign of economic strength. In other words he thinks we’re seeing growing BRIC economies and as a result we should also see a rising stock market.

Karen Finerman is very focused on oil with WTI closing over $110 and Brent closing over $120, “yet the market has managed to hold on,” she says. However, that doesn’t make her feel bullish. Quite the opposite, “In the face of so much adversity I’m getting nervous. I don’t know where the wall is but I think we’re a lot closer to it,” she says.

Brian Kelly is skeptical that the S&P will remain in such a tight range. As you may know for the past ten session the S&P 500 has moved no more than 0.7 percent in either direction. However, Kelly doesn't think that trend lasts. He expects we'll soon see a big move. "It could be in either direction," he says.

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TOPPING THE TAPE: RETAILERS

Retailers topped the tape on Thursday after a slew of stores reported strong sales. As you can see from the list below, warehouse store Costco and upscale department store Nordstrom were among the big winners.

RETAIL WINNERS
EST. ACTUAL
Costco +5.5% + 7.0%
BJs Wholesale +0.5% +1.3%
Nordstrom +0.7% +5.1%
Saks +0.8% +11.1%
Limited +1.5% +14.0%
Zumiez +4.1% +8.9%

RETAIL LOSERS
EST. ACTUAL
Gap -7.0% -10.0%
J.C. Penney 3.4% -0.3%
Target 6.4% -5.5%

What’s the trade?

Although the potential of prolonged higher prices at the pump could choke retailers, Karen Finerman likes Macy’s. “I think that one still has upside,” she says.

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NUCLEAR STOCKS KNOCKED ON SECOND JAPAN QUAKE

Although the most recent quake did not cause damage to any nuclear plants, investors still sold related stocks on Thursday due to concerns it could hurt industry expansion plans.

What’s the trade?

Find out from Jefferies analyst Paul Fremont. Watch the video now!






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Trader disclosure: On April 8, 2011, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Terranova owns (C); Terranova owns (JPM); Terranova owns (VRTS); Terranova owns (UPL); Terranova owns (PBR); Terranova owns (TCK); Terranova owns (BAX); Terranova owns (XOM); Terranova owns (AKAM); Terranova owns (CNQ); Terranova is short (POT); Terranova owns (NFLX); Terranova owns (CAT); Terranova owns (F); Terranova owns (VLO); Finerman and Finerman's firm own (AAPL); Finerman owns (C); Finerman and Finerman's firm own (CVS); Finerman and Finerman's firm own (HPQ); Finerman's firm owns (JPM), is long (JPM) leaps; Finerman owns (JPM); Finerman and Finerman's firm own (MSFT); Finerman's firm is short (IWM); Finerman's firm is short (MDY; Finerman's firm is short (SPY); Finerman's firm is long S&P puts; Finerman's firm is long Russell 2000 puts; Pete Najarian owns (C); Pete Najarian owns (C); Pete Najarian is long (F) bonds; Pete Najarian owns (JPM); Pete Najarian is long (RSX); Pete Najarian is long (XLF) calls; Jon Najarian owns (AMSC), is short (AMSC) calls; Jon Najarian owns (CBOE), is short (CBOE) calls; Jon Najarian owns (CME), is short (NYX) calls; Jon Najarian owns (NYX), is short (NYX) calls; Jon Najarian owns (BBBY), is short (BBBY) calls; Jon Najarian owns (BRCM), is short (BRCM) calls; Jon Najarian owns (GDX), is short (GDX) calls; Jon Najarian owns (SLV), is short (SLV) calls; Jon Najarian owns (LLY), is short (LLY) calls; Jon Najarian owns (EMC), is short (EMC) calls

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 (IGE)
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 (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 (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of DOMINO'S PIZZA UK & IRL PLC

For Brian Kelly
Accounts Managed by Kanundrum Capital are long (GLD)
Accounts Managed by Kanundrum Capital are long (MON)
Accounts Managed by Kanundrum Capital are long (SLV)
Accounts Managed by Kanundrum Capital are short (XLF)
Accounts Managed by Kanundrum Capital are long VIX calls
Accounts Managed by Kanundrum Capital are short yen
Accounts Managed by Kanundrum Capital are short copper
Accounts Managed by Kanundrum Capital are long gold
Accounts Managed by Kanundrum Capital are long silver
Accounts Managed by Kanundrum Capital are long crude oil
Accounts Managed by Kanundrum Capital are long natural gas

For Scott Nations
**No Disclosures

For David Greenberg
Greenberg Is President Of Sterling Commodities, A Clearinghouse For Metals & Commodities At NYMEX
Greenberg Is A Former NYMEX Executive Committee and Board Member

SOT 2/25/11: Brian Kelly Netflix
**No Disclosure

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