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'Fast Money': Take a Break

Thursday's market took a breather.

The crew on CNBC's "Fast Money" TV show said the market took a breather Thursday, with the major averages ending the day essentially flat.

Does that mean the recent downtrend is over? Carter Worth, chief market technician at Oppenheimer joined tonight's panel -- he said the range in the market is set for the year. Jeff Macke said banks going to the

Fed's

discount window isn't a sign of financial health.

But Pete Najarian said the market's swagger is back, citing the current chatter of takeovers. He said the volatility coming out of the broad markets is moving into the commodity sector.

Guy Adami said

Freeport-McMoRan

(FCX) - Get Free Report

is up because Atticus Capital raised its stake by 17%. Worth said the commodity sector led the market on the way up, and he's a buyer of the sector. Macke believes these stocks are crowded and overvalued. (

RealMoney Take: Jim Cramer said recently, "The mineral stocks reported some huge numbers -- BHP and Rio Tinto. Can CVRD and Freeport-McMoRan be far behind? I don't think so." To read more on what Cramer said,

click here.

)

Gap

(GPS) - Get Free Report

posted a strong profit and announced a $1.5 billion buyback. Macke said to sell it, while Worth said the chart for another retailer,

TJX

(TJX) - Get Free Report

is forecasting a move higher.

Worth said market divergences are telling him to buy gold stocks and short the actual metal. His picks in the gold stock sector were

Agnico-Eagle Mines

(AEM) - Get Free Report

and

Barrick Gold

(ABX)

.

Chinese toy concerned continued with the recall of

SpongeBob

and

Thomas The Tank Engine

merchandise. Macke said now is not a great time of the year to be recalling America's favorite toys. He believes

Mattel

(MAT) - Get Free Report

is either a screaming buy here or the problems will spread and make for a bearish Christmas - he's leaning towards the latter. Najarian is worried about dog-treat problems at

Wal-Mart

(WMT) - Get Free Report

with the Food and Drug Administration now stepping in.

Macy's

(M) - Get Free Report

announced a new ad campaign that will feature Donald Trump and Martha Stewart. Macke said the company is trying to create a perception of high class and he wonders if it will work. He compared the idea to

Sharper Image

undefined

selling meat pitched by Donald Trump.

Is The Bottom Here?

The

Dow

has begun to move higher after recently reaching four-month lows. Does the recent violent drop mark the bottom, or are we just resting before the next big slide down? Worth believes if the market doesn't retest lows right away then it becomes less likely that it will.

Adami believes the next 500 points on the Dow are up. Najarian believes the market will trade in a range for a while and retest the lows one more time. Macke sees the market is going lower.

Time To Buy Energy

The recent correction in the market took every sector lower. Energy stocks caught the brunt of the correction as hedge funds sold these winners to raise capital. But is it time to get back into the sector?

Adami doesn't believe the global demand story is over and he'd buy

ExxonMobil

(XOM) - Get Free Report

near $80 and

Holly

(HOC)

.

Najarian likes the service sector and his picks are

Baker Hughes

(BHI)

,

Tenaris

(TS) - Get Free Report

,

Smith International

(SII)

,

Schlumberger

(SLB) - Get Free Report

and

Halliburton

(HAL) - Get Free Report

. Worth mentioned that the energy sector hasn't bounced yet, but he believes it will happen soon.

(RealMoney Take: Jim Cramer recently said, "What's amazing about today's turn is that it was led by the financials (which are still down but not as much) and the ever-loved oils and oil-service plays like Schlumberger, ExxonMobil, and ConocoPhillips, which have a real hard time staying down, even for a session." To read more on what Cramer said,

click here.

)

Sex Trade

A

New England Journal of Medicine

study was published Thursday that showed adults in their 70s and 80s are having more sex then previously thought. What's the trade? Najarian would be a buyer of

Eli Lilly

(LLY) - Get Free Report

, maker of Cialis,

Pfizer

(PFE) - Get Free Report

, maker of Viagra and

GlaxoSmithKline

(GSK) - Get Free Report

m maker of Invitra.

Najarian likes Eli Lilly the best of the three.

Face 2 Face

Brazil's economy has been on fire lately due to high demand for natural resources. The country also has been straightening out its financial situation by lowering debt, controlling inflation and strengthening its currency. Brazilian stocks fell sharply in early August, so is now the time to buy this hot country via the

iShares MSCI Brazil Index

(EWZ) - Get Free Report

? Adami said buy it, while Worth said trade it for a bounce. Najarian is cautions, because he sees lots of put options buying. Macke says sell.

Pops & Drops

POPS --

GameStop

(GME) - Get Free Report

traded up 9% after the gamemaker beat analyst estimates. Najarian said video games are on fire. (RealMoney Take: Michael Comeau recently said, "The lesson? Don't extrapolate what's happening at

Wal-Mart

and

Home Depot

to the rest of the retail world, because some merchants sell stuff that people are still buying, and others offer a good shopping experience. GameStop does both." To read more on what Comeau said,

click here.

)

Limited Brands

(LTD)

popped 6% after beating estimates. Macke said don't go fishing for a bottom here -- this is a sell.

Limelight Networks

(LLNW) - Get Free Report

traded up 5% after winning a contract with

Microsoft

(MSFT) - Get Free Report

. Worth said stay away -- the Microsoft deal means nothing.

Sotheby's

(BID) - Get Free Report

traded up 4% after raising commissions. (RealMoney Take: Dick Arms recently said, "The decline in Sotheby's has already gone quite far, but it looks as though it has further to go." To read more on what Arms said,

click here.

)

Phillips-Van Heusen

(PVH) - Get Free Report

popped up 4% after reporting a bullish earnings forecast. Worth said the chart is "fantastic."

Amgen

(AMGN) - Get Free Report

traded up 2%. Najarian said stay away -- Amgen has "issues."

Smithfields Foods

(SFD)

popped 8% after beating analyst estimates. Macke said to stay long this stock.

Drops --

Hot Topic

(HOTT)

fell 9% after reporting a disappointing forecast.

JDS Uniphase

(JDSU)

fell 5% on a bearish earnings forecast -- Najarian said this stock is "terrible."

Children's Place

(PLCE) - Get Free Report

dropped 17% on a big earnings miss -- Macke said sell this stock.

Crocs

(CROX) - Get Free Report

dropped 2% on profit-taking. Najarian said forget about this one -- the stock is up 300% on the year. (RealMoney Take: Rev Shark recently said, "There are no good entry points today, and if you chased things like Research In Motion or Crocs, you are down on the day." To read more on what Rev Shark said,

click here.

) .

Final Trade

Najarian likes

Eli Lilly

(ELY) - Get Free Report

. Adami recommends buying

Dell

(DELL) - Get Free Report

. Macke says play the game trend with

Activision

(ATVI) - Get Free Report

. Worth said get short

General Motors

(GM) - Get Free Report

.

(RealMoney Take: Michael Comeau said recently, "My top buys: Breakout Stocks pick Activision." To read more on what Comeau said,

click here.

)

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