NEW YORK ( TheStreet) -- The markets sold off Monday as investors cautiously prepared for the start of an earnings season. The Dow Jones Industrial Average dropped 78.41, or 0.72%, to 10,751.27. The S&P 500 slipped 9.21, or 0.80%, to 1,137.03, while the Nasdaq fell 26.23, or 1.11%, to 2,344.52. Guy Adami said on CNBC's "Fast Money" TV show that the market will remain intact if the S&P stays above 1,135. However, he said last Thursday's reversal bears watching. Joe Terranova the market is trading along the path of a weak dollar. Zachary Karabell said the market is running on low volume and has moved in a trading range for the past five months. Karabell said strong earnings and potent cash flow might provide for good entry points into the market. For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."
3 Stocks I Saw on TV
Jon Najarian said Goldman Sach's downgrade of Microsoft ( MSFT) and the pullback of Baidu ( BIDU) might be good for a market that had been getting ahead of itself. Lee amplified on Goldman's downgrade of Microsoft, pointing out the report citied Microsoft's weakness in the mobile device market and the threats to its PC business posed by the growth of tablets, especially the iPad. Zachary said a strategy of dividends and buybacks would be the worst kind of catalyst for Microsoft. Stephen Weiss said Microsoft should make a change at the top, with the removal of Steve Ballmer. Weiss said Microsoft needs to buy growth but acknowledged that might be expensive. Terranova said Microsoft was "dead money" along with Dell ( DELL). Lee said gold, silver and palladium were slipping today. Terranova characterized it as a modest selloff, adding the trade marches on and advised investors to look at Freeport McMoRan ( FCX). Najarian offered some words of caution. He said it might be safer to be in SPDR Gold Trust ETF ( GLD) than in Market Vectors Junior Gold Miners ETF ( GDX), which will accelerate two to three times faster to the downside, if gold prices fall. Marc Chandler, head of currency strategy with Brown Brothers Harriman, sees dollar weakness before the November elections. He said the uncertainty will be lifted after the elections and fiscal policies will be addressed. Lee referred to a story in the New York Post that Sara Lee ( SLE) had received a bid from KKR but turned it down. Najarian said the company is opening itself for a class action for not disclosing that information and any other information regarding the sale of the company to its shareholders.