'Fast Money' Recap: Rally Jitters

NEW YORK ( TheStreet) -- The markets staged a strong rally Tuesday on some encouraging economic data.

The Dow Jones Industrial Average jumped 321.89, or 2.97%, to 11, 176.54. The S&P 500 rose 37.54, or 3.34%, to 1161.36. The Nasdaq climbed 100.68, or 4.29%, to 2446.06.

Joe Terranova said on CNBC's "Fast Money" TV show, that he was encouraged by the price action of the market and the reversal in the price of gold as well as the financials.

He said he would be in names like EMC ( EMC), Caterpillar ( CAT) and Whole Foods ( WFMI).

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

Tim Seymour was leery about getting into the stock market. He said he couldn't think of any good reason to get in, adding there are too many "head fakes" in today's market.

For example, Seymour wondered why gold is selling off if QE3 is being entertained and questioned why people think the global growth story is back on the table when the German economy appears weak, with business confidence at a three-year low. "It's a very dangerous tape," he said. "I'm not sure what you have to be happy about."

Stephen Weiss agreed, saying the market scared him more than drew him in. A cautious Karen Finerman also said investors shouldn't be buying stocks solely on the presumption that Fed Chairman Ben Bernanke might come out with a bailout plan on Friday.

Terranova defended his position. He said he was impressed with the market's resiliency and its ability to hang on despite bad news. He also said the market remains cheap from a valuation standpoint.

Brian Kelly said he remains in the bear camp, calling today's rally an example of a bear rally.

Melissa Lee, the moderator of the show, shifted the discussion to gold, which fell 3.18% to $1,831 an ounce. Weiss said the trade had just become too crowded. He said gold could very well get to $2,000 - but without him.

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