'Fast Money' Recap: Worst Start since 1932

The team digs through the carnage of the past week.
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The stock market plunged Friday as the Dow has now seen its worst 3-day start since 1932 and the S&P 500 has seen its worst start to the new year since 2000. The Dow finished the day down 256 points and the Nasdaq fell 98 points. The team at CNBC's "Fast Money" did a post mortem on the day and previewed upcoming conferences in various sectors.

Jeff Macke explained that the S&P 500 is right back to the panic lows it made in August and November but now it's at a great risk of breaking those lows. Pete Najarian says the job number shocked him and the

Intel

(INTC) - Get Report

downgrade was a surprise. He explained how the Intel downgrade crushed names like

Apple

(AAPL) - Get Report

,

Research In Motion

(RIMM)

and

Google

(GOOG) - Get Report

. He thinks this selloff on Apple is a great buying opportunity heading into Macworld.

Jon Najarian likes Research In Motion, if it holds $100 going into the Consumer Electronics Show. However, Guy Adami favors

Unilever

(UL) - Get Report

,

Procter & Gamble

(PG) - Get Report

,

Altria

(MO) - Get Report

and

Microsoft

(MSFT) - Get Report

at the $32 level. Macke mentioned he would be a buyer of the S&P 500 for a trade with a tight stop at 1400.

CES Trade

The 2008 International Consumer Electronics Show (CES) is set to start on January 7Th in Las Vegas. Pete Najarian explained that the CES isn't a monster catalyst for the technology sector. Instead, he thinks investors should keep an eye on gadget maker

Research In Motion

. Jon Najarian would rather pay attention to

Apple's

Macworld, which happens one week after CES. Adami mentioned that

Dell

(DELL) - Get Report

is getting attractive at current levels. Jon Najarian noted that he saw lots of call buying on DELL Friday.

(Here's how one manager set up his electronics portfolio in Stockpickr.com

My 14-7Electronics

.)

JPMorgan Healthcare Conference Preview

Next week the JPMorgan Healthcare Conference is set to kick off. Every subsector in healthcare will be represented at this conference.

CNBC

Pharmaceuticals Reporter Mike Huckman joined the "Fast Money" crew to discuss his take on the healthcare sector. Huckman highlighted a few companies that he would keep an eye on going into the conference. His first name to watch was

Celgene

(CELG) - Get Report

which will give guidance on Monday. Pete Najarian mentioned he likes CELG.

Next on the list was

Amgen

(AMGN) - Get Report

which will present on Tuesday. Huckman advises watching for comments from AMGN on its anemia drug franchise. But Pete Najarian thinks investors should keep an eye on

Millennium Pharmaceuticals

(MLNM)

, which will present on Wednesday. Finally, Adami told viewers to watch

Biogen Idec

(BIIB) - Get Report

.

Prescription drug companies are using TV commercials to promote allergy medications and now even anti-psychotic medications. Pete Najarian likes generic drug maker

Teva

(TEVA) - Get Report

and

Novartis

(NVS) - Get Report

. Adami favors Organon Pharmaceuticals which was just bought out by

Schering Plough

(SGP)

. Jon Najarian likes

WellPoint

(WLP)

.

(Take a look at the names in this healthcare portfolio on Stockpickr.com

Top Yielding Healthcare Stocks

.)

Catch a Falling Knife

Airlines, auto rental companies and casino stocks all fell this week as the market prices in the possibility of a recession. Macke sees a trading bottom in

UAL Corporation

(UAUA)

. He would avoid rental car companies which he mentioned are trading like they're already in a recession. Adami favors

AMR Corporation

(AMR)

for a trade off of the high short interest.

Financial stocks continue to get battered as investor's fear the worst is still to come. Pete Najarian explained the investment banks finally cracked Friday after

Goldman Sachs Group

(GS) - Get Report

fell below $200. He thinks now is the time to buy the put options on the

Financial Select Sector SPDR Fund

(XLF) - Get Report

. Jon Najarian warns that

Bear Stearns

(BSC)

is setting up to drop 20% in one day.

Not so Bad

Utility stocks put in a strong week in the face of a declining market. Adami likes

Public Service Enterprise Group

(PEG) - Get Report

, but with the stock up 53% he doesn't see much more upside from current levels.

Oil fell 1.3% after hitting a record high of $100.09 on Thursday. Adami says buy

Jacobs Engineering

(JEC) - Get Report

as long as energy prices are high. Jon Najarian mentioned he is still short refiners and Pete Najarian disclosed he is short

Valero

(VLO) - Get Report

.

Same-Store Sales Heads Up

On Thursday same-store sales will be released. Macke expects Friday's poor jobs report could be a leading indicator to bad same-store sales data. He advised investors to watch

Costco Wholesale

(COST) - Get Report

which will benefit from a soft economy. He also likes

Gap

(GPS) - Get Report

for a trade off of low expectations.

Pops & Drops

This segment of POPS&DROPS highlights the most extreme stock moves of the week.

Pops -

Osiris Therapeutics

(OSIR) - Get Report

traded up 11% after the biotech company won a $225 million contract. Pete Najarian says this is a huge win for OSIR.

Humana

(HUM) - Get Report

traded up 5% after a CIBC analyst made some bullish comments on the health insurer. Adami sees more room to the upside for Humana.

Drops -

Valero

(VLO) - Get Report

and

Tesoro

(TSO)

both fell more than 8%. Jon Najarian thinks they will continue moving lower.

Sallie Mae

(SLM) - Get Report

fell 15%. Adami thinks it still has more room on the downside.

Macy's

(M) - Get Report

fell 12% off of the bearish jobs report. Macke explained that the jobs data caused a parade of sellers in the retail stocks.

KLA-Tencor

(KLAC) - Get Report

fell 12% after Intel was downgraded on Friday. Jon Najarian is looking for KLAC to drop below $60.

Talbots

(TLB)

fell 19% after the women's clothing firm said it would shut down its children's and men's clothing and cut 5% of its workforce. Macke reminded investors to never buy specialty retailers on the dip.

Fast Fire

The team faces up to the trades that didn't go as planned.

It was December 17th when Adami went negative on

Newmont

(NEM) - Get Report

. He was dead wrong and Newmont has gone up 12% since his call. Now Adami thinks if investors want to play gold they should buy

streetTRACKS Gold Trust

(GLD) - Get Report

.

On January 2nd Macke went bullish on retailers and he told investors to buy the

Retail HOLDRS Trust

(RTH) - Get Report

at $90. Since his call the RTH has fallen 3% and Macke admitted the trade was a mistake after the jobs number disappointed.

December 26th was the day Najarian recommended coal play

Alpha Natural Resources

(ANR)

. He was off the mark on this call and ANR has fallen 12% since he recommended it. Najarian isn't giving up just yet, he is sticking with the coal name.

Quicker Than the Ticker

Equal time is given to the trades that did perform well.

On December 17th Najarian turned bullish on

Newmont

(NEM) - Get Report

. He was dead right and the stock has gone up 12% since his call.

It was January 2nd and Macke recommended shorting

Bed Bath & Beyond

(BBBY) - Get Report

. He was right on the money and BBBY went down 15% since his call.

On December 31st Adami went positive on

Monsanto

(MON)

. He nailed the call and MON has ripped up 9% since his call.

Final Trade

The teams ends a difficult week with some trade that investors might like.

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