'Fast Money' Recap: Buying in May?

How much has the market rally been influenced by a short squeeze? Finerman said that has certainly been the case with Green Mountain(GMCR Quote), which jumped $19.02, or 36%, to $71.75. She said the situation is ripe for a squeeze with a 44% short interest in the stock.

Finerman brought up a second example with Dineequity(DIN Quote) which jumped 6.48% today to $32.04. She told investors to study the pricing action of the options activity to see if it is out of whack. If it is, it means you can't get a borrow, a condition ripe for a squeeze play.

Seymour brought up a third example in Teck Cominco(TCK Quote), where there is not only a short interest but also interest from another player. He said those ingredients pushed the stock up 25% in a day.

Lee brought in Jeff Tomasulo, of SMB Capital, for some trading ideas ahead of next week when the stress test results are released.

Tomasulo said he would go long on Visa (V Quote) if it trades above $70 and the market continues to go up. On the flip side, he said he would short it at $64 if it rolls over.

He said he would only go long with strong stocks like Goldman Sachs (GS Quote) ahead of the stress tests. He said he would also go long on Morgan Stanley (MS Quote) if the market shrugs off the stress tests.

Lee brought up an old Wall Street adage that May is usually the month to sell and go away, since the Dow historically has yielded a 4.4% return between May and October.