'Fast Money' Recap: Take Some Profits

The trading panel for CNBC's "Fast Money" TV show told viewers to exercise some caution after Monday's big rally.

The Dow Jones Industrial Average soared 221.11, or 2.6%, to 8,721.44, while the S&P 500 rose 23.73, or 2.58%, to 942.87. The Nasdaq climbed 54.35, or 3.06%, to 1,828.68.

Jeff Macke said on the show that he believes the rally is in its late stage and to take some profits. He said he was a seller of stocks at the end of the day.

Guy Adami admitted he missed the past 40 points of the rally but said stocks like Honeywell(HON Quote) continued to work.

Pete Najarian said today's rally came as a surprise because no one was quite sure which way the S&P was going to break after sitting at 900 for awhile. He said the volatility index "screamed" higher today, up 3.87%, to 30.04.

He said two forces were behind the move: people buying downside put protection, especially in commodity stocks, because they didn't quite believe what they were seeing and people in a panic mode buying upside calls.

Karen Finerman said the rally had nothing to do with anything fundamentally happening in the economy or business. Rather, she said, it had to do with the fear of being left out. Specifically, she said people on the sidelines felt they had to jump in.

She said she was getting some S&P puts for downside protection.

Macke offered another defensive strategy: selling a stock after it goes below a certain point.