The Dow and the S&P 500 hit record highs on Tuesday after investors digested the Federal Reserve meeting minutes that had nothing to offer bears. The team at CNBC's "Fast Money" pondered the upward movement in the market.

Pete Najarian commented on the strength across the board in commodity stocks, financials and biotech. Tim Seymour of Red Star Asset Management interpreted the Fed minutes as having expressed concerns about the decline in the dollar. Jeff Macke responds that if the Fed was so concerned about the falling dollar then they would stop printing and dumping dollars into the system.

Technology Divergence

Although technology stocks like

Apple

(AAPL) - Get Report

and

Research In Motion

(RIMM)

are hitting new highs daily, the semiconductor stocks aren't following along. Carter Worth, chief market technician at Oppenheimer, reviewed the charts of the S&P 500 tech stocks vs. the performance of the semiconductors over the last four years. What he found was an incredible divergence with the semis declining by 30% against the S&P 500 tech stocks.

Image placeholder title

There's an opportunity here to sell the technology highfliers and buy semis. Najarian likes the idea, but isn't convinced there is strength in the hot tech stocks like Apple and Research In Motion. Plus, he can't find one semi he likes enough to pull the trigger on. Macke agrees with Worth and would play this divergence by going long

Intel

(INTC) - Get Report

.

Worth also found it interesting that investment banks like

Goldman Sachs

(GS) - Get Report

were flying, but money central banks like

Citigroup

(C) - Get Report

were doing nothing.

Super Market Trade

Many of the world's largest consumer staples companies are set to report earnings in the near future. Firms like

Coke

(KO) - Get Report

,

Pepsi

(PEP) - Get Report

,

Proctor & Gamble

(PG) - Get Report

and

Colgate

(CL) - Get Report

will get to show investors how good business is.

Macke believes Procter & Gamble is doing the best by selling off brands that aren't growing fast enough. He's impressed with Coke's decisionmaking on acquisitions to gain shelf space at the grocery stores. Also in the beverage space he favors

Molson Coors

(TAP) - Get Report

and

Pepsi

(PEP) - Get Report

. Najarian agrees that Pepsi still has more upside and Seymour likes it for a play on growth in Russia. The only consumer product company that Macke isn't positive on is

Clorox

(CX) - Get Report

.

(Check out this portfolio with 80% of its assets in consumer stocks on Stockpickr.com

Consumer Staples

.)

Oil Service Trade

Oil rebounded back to over $80 on Tuesday and the

Oil Services HOLDRs

(OIH) - Get Report

followed the commodity to the upside. Seymour tells investors to play it by buying oil service companies with exposure to regions like Russia and the Caspian Sea. This would be

Halliburton

(HAL) - Get Report

and

Baker-Hughes

(BHI)

.

Najarian is seeing "tons" of bullish activity in the options pits on some oil-service names. He mentioned that activity in the Baker-Hughes November $100 calls was wild with over 18,000 contracts trading hands. The Baker-Hughes and Halliburton trade works for Worth, but he would avoid the Oil Services HOLDRs because it is overweighted with

Schlumberger

(SLB) - Get Report

.

Word on the Street

Fertilizer play

Mosaic

(MOS) - Get Report

reported monster earnings on Tuesday and the stock soared. Najarian points out that there are buyers of the October $90 calls on

Monsanto

(MON)

, which operates in the same space as Mosaic. He presonally bought the October $90 calls and sold the $95 calls on Monsanto Tuesday. According to Najarian, there's a global growth story that is on fire with fertilizer plays.

(An interesting take on agricultural chemicals is at Stockpickr, click on this portfolio,

Agricultural chemicals

.)

SABMiller and

Molson Coors

(TAP) - Get Report

announced plans to combine U.S. operations in a new firm to be named MillerCoors. Macke suggests they combined so they can go after

Anheuser-Busch

(BUD) - Get Report

. The hidden winner, in Macke's opinion, is

Altria

(MO) - Get Report

, which has a 28% stake in SABMiller. Seymour favors international beverage plays

Companhia de Bebidas

(ABV)

and

Fomento

(FMX) - Get Report

.

Alcoa

(AA) - Get Report

falls short of Wall Street's estimates but the stock doesn't fall after the firm announces a gigantic stock buyback. Seymour thinks Alcoa could be a takeover target and he owns it. Macke states that the buyback is just one more reason to be bullish on U.S. stocks.

Retail same-store sales numbers are set to come out on Thursday. Macke warns investors to expect a lot of misses like the one on Tuesday from

Childrens Place

(PLCE) - Get Report

. It's too late to short the retail space and instead he advises buying PLCE here for a trade. Worth likes the high-end retailers for shorts. He recommends shorting

Nordstrom

(JWN) - Get Report

,

Tiffany

(TIF) - Get Report

and

Coach

(COH)

.

Pops & Drops

Pops --

Yum! Brands

(YUM) - Get Report

traded up 5% after reporting strong profits and raising full year forecasts. Macke says the growth story is still intact and investors can be long this stock.

ValueClick

(VCLK)

traded up 10% after Jim Cramer speculated on CNBC's "Mad Money" that a takeover bid could be coming from

Microsoft

(MSFT) - Get Report

. Najarian maintains that ValueClick is definitely going higher.

Miramar Mining

(MNG)

popped 24% after

Newmont Mining

(NEM) - Get Report

bought the firm for $1.5 billion. That's a sign to Worth that gold stocks are free to move higher.

Altair Nanotechnologies

(ALTI)

exploded higher by 31% after the firm demonstrated its battery pack in an electric car. Najarian points out that trading volume was big and this was a huge pop for the Altair.

California Pizza Kitchen

(CPKI)

traded up 5%. Worth doesn't like the chart and he advises staying away from CPKI.

Drops-

Coach

(COH)

fell 3% off a bearish Bloomberg report. Worth sees more to come on the downside.

Face2Face

Fans of the show write in with questions on stocks they'd like the team to answer.

Rick writes, "What's up with

Nokia

(VCLK)

? Does it still have upside potential or should I cut my losses?" Najarian counsels waiting till the takeover of

NAVTEQ

(NVT) - Get Report

is digested, and then it will move higher.

Steve from Florida wants to know, "I've made a good profit in

XM Radio

(XMSR)

, buying in at $8 and $9. What do I do now? Sell some XM and then buy some

Sirius

(SIRI) - Get Report

?" Macke likes the idea of buying Sirius because he thinks the stock will move higher.

Joe from Michigan asks, "Early last week,

EMC

(EMC)

put volume surged by over 50,000 contracts for two consecutive days. I read this unusual put volume as a sell signal, but the stock hasn't gone down. What was the significance of the massive put action?" Worth tells Joe that one or two days of put buying are unlikely to change the situation. Najarian adds that put activity can be big investors buying protection against long positions.

Final Trade

The crew and guests give their best ideas of the day.

  • Macke recommends Johnson & Johnson (JNJ) - Get Report.
  • Worth encourages shorting Black & Decker (BDK) .
  • Najarian prefers Cypress (CY) - Get Report.
  • Seymour tells investors to play international oil services with Integra Group.
  • Ned Riley, the CEO of Riley Asset Management says stay long PowerShares QQQ Trust (QQQQ) .

Stockpickr is a wholly owned subsidiary of TheStreet.com.