the nasdaq percentagewise is the biggest loser, down about 36 points on the trading session. three big winners this hour, radio shack, u.s. steel, and sun edison. radio shack has almost a 3.5% gain. all right. go packers! ty, that will do. >> go packers! get home before the snow, sue. that does it for this edition of "power lunch." >> "street signs" begins now. all right. happy new year, everybody. to apparently everything but the stock market. could we post the first down first day of the year since 2008? your other hot topics on "street signs" today, the unsexy old-school sector that is the favorite investing pick of our market expert. we've got the must-see list of the worst tech products of the year. and our predictions for 2014. some will shock you. others will amaze you. some will no doubt be completely

erroneous. >> hello, everybody. we're starting on a weak note for the first trading day of the year. after the s&p 500 wrapped up its best year since 1997, adding $3.75 trillion in market value. tech today is the worst performing sector in the s&p thanks to one big downgrade which we'll have more on later in the show, brian. we still have 240 or so trading days left this year. let's just relax about the move today and see what is moving to kick off trading in 2014. let's get to dominic chu. a lot of red on the screen behind you. let's just call it a notch and go to 2015. >> yeah. mail it in. >> the year is over. >> just mail it in. say it's all done because there is so much red on the screen right here, i can't even count them all. actually, i can. it you look at the top row of green, there's only around 47, maybe 50 companies oscillating between that number for how many are positive in the s&p 500. tech is one of the sectors in focus today overall because you see health care, the relative best performing sector, all ten

of them are down so far. utilities, the worst performing sector, down about 1.3% overall. yes, it's a broad-based selloff to start at least day one. individual companywise, let's go down the funnel here. among the worst performers, cablevision, down about 4% today. a big move to the down side for that. also with the drop in oil prices today comes a drop in oil and gas exploration companies. that's why pioneer natural is down about 3.5%, 4% as well. and among those rare green arrows, check out the gold mining stocks. remember, they got beaten up bad last year as gold prices fell. numont mining up about 5% today. so mandy, there are pockets of strength, even though they're not that many of them out there. >> every single dog has to have its day, right, dom? >> actually, it's a cat. he said ocelot. >> every cat must have its day. the dow down triple digits. stocks have not closed in the

red on the very first trading day of a new year since 2008. but let's bring in wells fargo adviser stuart freeman and raymond james jeff sort. gentlemen, happy new year. welcome to "street signs." to what degree can we just put today down to tax selling and this is really just noise? >> i think it's just noise, mandy. you try and call the portfolio managers i normally speak to, they're all in the hamptons. this is more about a lack of buyers than really ernstwhile selling. there are individual sellers who didn't want to pay the tax man. they're taking gains now and postponing the tax burden. >> what happens from today onwards, jeff? >> i think it's noise today and tomorrow. i think you don't get a real clear picture until the pros get back next week. i would tell people to put blinders on to the action today and tomorrow and take a fresh look when the pros come back. >> stuart, people will open up their end of the year statements, see nice returns, that might entice people to put

in the market. is that a good idea? because the retail investor seems to mistime things. >> i think we have to remember -- >> it's to stuart. then jeff, you can respond. >> i'm sorry. i think we have to remember that, you know, this has been the first year where we've seen net inflows into funds this year, into equity funds. it wasn't really strong. so far, individuals have not moved dramatically into stocks. i think as the economy gets better this year, the world economy broadens out a little bit, i think we will see that. i think we'll see individuals move in and it's no too late. >> stocks only go up or down really for one reason. there's more buyers or more sellers. you think we will see more buyers, and therefore i would assume you are optimistic on equities at least to begin the year. >> yeah, we've got a target right now for the end of the year at 1850 to 1900. and our earnings -- we're expecting earnings to be up about 5%. i think both of those are conservative numbers at this point. we've seen a little bit of an

increase at the end of this year in fundamentals of 2013. i think by the end of next year, we'll be up mid single to upper single digits, something like that. >> today is down, but we haven't really this a proper correction for a long time. and yet you're calling for a pullback maybe 5% to 7% come february. why are you picking on february as the date? >> well, the history of drawdowns after a rally like we've had h, 40% since june of 2012 is that sometime in the next three months, we're due to a 5% to 7% pullback and 12% in the next 12 months. i would counsel people that those pullbacks, in my view, are within the context of a secular bull market that has years left to run. i am pretty constructive on equities for this year. >> years left to run? years, jeff? >> sure. between 1982 and 2000, you had an 18-year bull market. and i think we're in a secular

bull market very similar to that. and a lot of people don't believe it because they don't get that the equity markets don't care about the absolutes of good or bad. all the equity markets care about is are things getting better or worse? and i agree with stuart. i think things are getting better. >> i agree with that, too. i also agree with mandy and jeff's points about february. two things. number one, it's the shortest month. everybody knows that's a bad thing. also, it's the month where your w-2s kick in, you can punch in the numbers with your accountsant aaccountant and see what you owe. there's going to be a lot more money owed than people think. i think people's tax bills come in higher than they think they will. what are your thoughts? >> well, look. we're looking for more moderate growth this year than last year by far. we had a 29% year last year. you know, much, much less this year. a lot more volatility this year. this year, we're going to be dealing with tapering. you know, how much the fed's going to taper a little bit more every month. and even though the liquidity is still going in it's going to be

a little bit more, a little bit more eventually as the economy gets better. we're going to see a lot more volatility. i think, you know, could it be february? sure. could be march. yes. i think when individuals want some capital to pay their tax, that makes sense. but, you know, generally that first part of the year through april, you know, early may tends to be good. seasonally, it's a good part of the year. the part of the year that's really not good in september and october last year, it was good. you know, we're not really seeing normal seasonals the last six months. >> which just proves that history does not always repeat itself. stuart and jeff, great to see you. thanks for joining us. >> you bet. >> thank you. it's going to be 80 degrees in los angeles today, but for all of you non-los angelinos, let's get to nbc's reporter in manhattan. they're saying now eight to ten inches of snow. what is this? how bad is it?

>> reporter: this is a really, really bad winter storm. the first of 2014. up to ten inches of snow expected here in new york city with up to 16 inches expected in other parts of the northeast. now, currently here about 500 flights already canceled. airport authorities expecting a lot of those travelers to have to stay overnight in the areas' airports. boston logan announcing their last flight will leave at 8:30 tonight, and they won't radio reopen until late tomorrow morning. a lot of people preparing to hunker down and wait out the storm, stopping by stores to snap up food and water. meanwhile, the new york department of sanitation has 300 salt spreaders on the road and an additional 1,000 snowplows standing by. this will be a nasty storm with the wind, the snow and the freezing temperatures. really the perfect recipe for the first winter storm of 2014. back to you guys. >> sarah, appreciate it. stay warm.

thank you. still ahead, it is out with the new and in with the old. we're going to flip the script, right, like fenster from "usual suspects." plus our predictions for this year. while they're adding fuel to the fire of the keystone pipeline debate. we'll bring you that when "street signs" returns.

unsexy may be the new sexy. three boring sectors have been on a tear, tanker shipping, steel and rail companies. check this out. on average, major companies in the tanker sector were up 143% last year. steel and rails, listen, lagging tankers but still pretty good at 34% and 42%. some suggest any more run may be done. let's hammer it out. three different analysts with their top picks. let us start with the shippers. joining us now from clarkson capital markets. >> happy new year. >> thank you. happy new year. who is scorpios tankers, and why do you like them? >> stng, they are a very large order book on the refine product tanker sector where they compete. what's interesting about that space is that refinery capacity worldwide is developing in the middle east, brazil and in asia. but not so much in the u.s. and

europe. utilization for those ships is going up and in excess of fleet growth over the next couple of years. and as such, i really like the space. the u.s. is an exporter, too, is also a very positive development for them. >> i understand that you also like nm which was, by the way, your top pick for last year and it completely blew thorough your target. you still like it for this year as well. the story just getting better? >> yeah, the last time i wrote on the stock, it was, i think, 775, and that was less than a month ago. it's now over 10. i certainly like the stock. it is a great sum of the parts value there. they have a south american logistics company, the dry bulk space is also getting much better. again, demand exceeding supply over the next couple of years. and as such, their net asset value is going to continue to increase over the next couple of years. earnings are going to improve as well. i think the stock will be rocky here after this huge run. and we're seeing it in the broader market today in general. but still, a very attractive

company, if you have a long-term view. >> let's certainly hope the chinese economy is stable this year as well. that will help. thank you very much. >> thank you. >> let's move on to steel. why is newcorps the stock to watch in this space? >> newcorp, mostly it's a unit volume growth story. it's not so much a play on steel prices. it's much more of being a low-cost producer, providing the products. the market wants, adding value to those products and then generating, you know, a nice profit margin now and also generating free cash flow now, which is a little bit unusual for the industry. you're not seeing across-the-board strong profits in the steel industry, but you are seeing low-cost producers generate good earnings and we think good growth coming for next year. >> but in general, is the steel sector in for a multiyear recovery? i know brian mentioned that the steel sector started really picking up in the second half of last year, got the boost from the goldman sachs upgraded the entire sector, but is this just

a blip, or is this something to stay for a little while longer? >> you know, you would lean a little more to the argument that it is a blip in the steel price arena. you know, the industry has a lot of moving are the pas. and there's volume and cost also. but in the price of steel, you know, we have seen prices rise, you know, pretty sharply since july. i don't think that's supported very well by demand. and i think they're actually a little too high relative to the world and it's starting to attract import supply. we still think that's an issue on the companies that are specifically tied into the steel price story like a u.s. steel, for example. but we think a company like nucor has got a lot more going on. capital investments that they've put together in the last few years, and they're especially one in the raw material area where they're producing direct reduced iron, which is going to significantly reduce the raw material costs going into 2014. >> aldo, it was a pleasure. shipping and steel down. last but not least, let's hit the rails with avondale's donald

braughton. trading at just over 16 times earnings. the dividend, not that generous overall. why is this stock not overstretched? >> well, if you look at everything you've been talking about so far, it's all driven by one big thing, and that is fracking. fracking's very successful. it's driving an industrial revolution in the united states. and that is the direct beneficiaries are things like tankers. >> but we're going to have a story -- >> and steel and rails. >> we'll have a story directly following this about that explosion in north dakota. there's been concern -- and we were up in williston, right? about an hour ago, the bakken oil is more flammable, whatever that means, than oil. >> it means it burns. >> which is what it's supposed to do, by the way. oil burns and sometimes it snows in the winter. >> exactly. >> that said, donald, if i'm union pacific or norfolk southern and i have to refit my railcars, that's going to cost me a lot of money, eat my earnings. >> here's the thing. those railcars are not owned by railroads. they're owned by the railcar

lease owers the chemical companies, et cetera. the railroads simply move them. but there's a much broader impact, whether it's through pipeline or crude via rail and the industrial america is where we're seeing real growth. in fact, intermodal e-commerce and industrial america are the only places we're really actually seeing economic growth in the u.s. economy. and norfolk southern's case in particular, we're seeing the use of technology and infrastructure to take loads off of the road and put them on rail. we're seeing the ability to take advantage of the crude via rail story, the industrial revolution restarting, if you will. and we're still trading at a discount to the rest of the industry. because for good reason. this company's earnings were flat to down for the last couple years. but that's turning. and we're expecting them to see 2015 earnings that are literally almost 50% higher than they were in 2012. >> thank you very much for building the case for norfolk southern. to all of you, thank you for your time. the u.s. pipeline safety

agency is issuing a safety warning on crude oil produced in the bakken. as brian mentioned, this comes just days after a train carrying bakken crude derailed and exploded into a massive fireball. let's go to jackie deangelis with more. >> good afternoon, mandy. transportation of crude oil supplies via rail, a huge theme this year. in fact, there are industry estimates saying we could bump up to the range of 700 to 750,000 barrels of crude being shipped via rail per day. that is a pretty staggering amount there. but recently, of course, these accidents are putting people on high alert, specifically in north dakota's bakken shale region, especially in light of last week's bnsf railway train collision and that explosion that you're discussing. at issue here, why the unrefined crude supplies are exploding. typically you see that, it's more of a threat after crude is actually been refined. after speculation that perhaps additives to the oil or even mislabeling might have been a contributing factor to these

explosions. the ntsb is the federal authority that's now looking into this issue. today the pipeline and hazardous materials administration issuing a safety alert saying that crude being transported from the bakken region may be more flammable than that traditional heavy crude oil. now, the bnsf told cnbc that it's cooperating fully with the ntsb and wants to learn all that it can from the investigation to drive even more safety improvements. still, of course, these accidents raise a bigger question, should the focus be on building out pipelines which are cheaper and perhaps a safer means of transport? and of course, this all comes as we're waiting for a decision on the keystone pipeline out of washington. so the energy industry right now grappling with some very big issues, mandy. >> thank you very much, jackie deangelis. and the explosion has propoked fresh concern over railway safety. what is the safer with a i to transport oil? is it by rail? is it by pipeline? joining us from the railway side is peter goles.

making the case for the pipel e pipelines, john hoffmeister former president of shell oil. peter, no doubt this is a big. big explosion and scary stuff. sort of the pipeline advocates are going to come out and say, see, rails are dangerous. we need to build more pipelines. >> well, the reality is both modes of transportation are extremely safe. this is only the third accident this year concerning the transportation of oil on railways. and there are, you know, 800,000-plus tanker movements over the past year. so both modes are safe. and it's a misguided political argument to try and say, well, you know, if we try to inaccurately trash rail movement, it will somehow enhance the keystone argument. it simply doesn't work. >> peter, if you say both modes are safe, pipelines are safe,

railways are safe, why are you pro-railway over pipelines? >> we're saying that you need both. we're not saying one or the other. >> okay. what i'm saying is that if you're moving oil, crude oil east-west, you need to do it by train because there's not much infrastructure going east-west on the pipelines. it's simply a matter of investment. >> john, you're pro-appropriate li pro-pipeline. nonetheless, john, you prepare pipelines for what reasons? >> i prefer pipelines because over time, i think the risk management is a simpler proposition because you have a pipeline underground below the freeze line so it's not expanding and contracting the way rail does. and when you think about rail, you're looking at all this tremendous weight on two thin rails that could be moving back and forth or could be expanding or shrinking based upon temperature. now, i would like to address also the volatility of what's in

those tanker cars or in the pipeline from the bakken. very likely you're going to have propane, some methane, some ethane that's in the oil because that's the nature of shale. so you'll have a more volatile mix which means that the safety of the railcar or the safety of the pipeline is paramount. and i think rather than debating either/or in this case, we should be looking at the regulatory regime that covers both pipelines and rail. >> yeah, john, that's a good point because having been there, i mean, they're burning -- it's called flaring. they're burning off excess natural gas with the fracking process because they have no way to store or move everything they can produce in williston. it's really almost like a biblical site. these walls of flame at night going up. i mean, hundreds of them. we should be embracing all modes of transportation, should we not? >> absolutely. we should be capturing that methane and piping it to sources because you can't really move natural gas by rail very

efficiently or effectively because you need pressurized railcars. and that's even more dangerous. but you should be able to capture it, pipe it and use it instead of wasting it. it's really shameful. but when you have an administration that can't even approve the keystone excel pipeline after five years of looking at it, i don't hold any hope out that this administration cares about the infrastructure of energy in this country. >> that's kind of sad. peter, what do you see happening on the regulation front? i know you say like the 90,000 or so railways out there, or railcars out there, there are only about 14,000 or so of them that have been actually improved to be completely safe. in other words, having their outer holes strengthened, to have thermal insulation and various things to prevent the spread of fire. what are we going to do on the regulation front from here? >> i think one thing we have to do is we have to push the regulators to finally act. the rail industry itself voluntarily has moved to improve

these tank cars. but there's nothing that undercuts the regulatory environment than a slowdown in terms of safety. fimsa has to make the decision, how are we going to strengthen these cars? it's not rocket science. we need headshields that are stronger. we need stronger shells that prevent puncture. we need better thermal insulation. they need to put that out in a regulation so that the rail manufacturers, the car manufacturers, can meet the standards. they've been dragging their feet, and it's costing. >> thank you very much, peter and john. very interesting topic. and no doubt we'll be hearing more on this topic as well coming up on "the boclosin bell." more from the head of the ntsb chairman, deborah hersman at 4:30 p.m. eastern. >> got to check that out. virginia tech hokie. >> she is indeed. >> join genius.

a check on the markets, not a great way to start the year. 2013, remember that year? fantastic one for the markets. all these sort of superlatives for the year. we're not getting that start off today, folks. the dow down 145 points. that's nearly 1% to 16,431. nasdaq and s&p 500 also down. take a look at the tech doves from this past christmas. and snapchat's big snafu. how a data breach could have impacts. which is also a subject of one of mandy's predictions for 2014, which is also coming up. >> yeah, you've got to stick around. >> i predict that's coming up. . there, i said it. see, i knew testosterone could affect sex drive, but not energy or even my mood. that's when i talked with my doctor. he gave me some blood tests... showed it was low t. that's it. it was a number. [ male announcer ] today, men with low t have androgel 1.62% testosterone gel. the #1 prescribed topical testosterone replacement therapy

increases testosterone when used daily. women and children should avoid contact with application sites. discontinue androgel and call your doctor if you see unexpected signs of early puberty in a child, or signs in a woman, which may include changes in body hair or a large increase in acne, possibly due to accidental exposure. men with breast cancer or who have or might have prostate cancer, and women who are or may become pregnant or are breast-feeding, should not use androgel. serious side effects include worsening of an enlarged prostate, possible increased risk of prostate cancer, lower sperm count, swelling of ankles, feet, or body, enlarged or painful breasts, problems breathing during sleep, and blood clots in the legs. tell your doctor about your medical conditions and medications, especially insulin, corticosteroids, or medicines to decrease blood clotting. in a clinical study, over 80% of treated men had their t levels restored to normal. talk to your doctor about all your symptoms. get the blood tests. change your number. turn it up. androgel 1.62%.

at afraud could meanuld chanblower credit scores.it up. and higher interest rates when you apply for a credit card.

it's a problem waiting to happen. check your credit score, check your credit report at experian.com. let's look at what's going on out there in the markets. at this stage, ge is the worst performer out there on the dow. it is down by triple digits, the dow. mind you, the dow surged 26.5% last year, its best year since 1995. so we're coming off a very high base. ge down by about 2% right now. >> and think we also need to ask the question, sort of a trivia question, mandy, what is the worst performing stock of 2014? the dow? >> ge. >> nothing gets by you. >> that's why i work for cnbc.

if you're hoping for big things from apple and its stock this year, wells fargo says don't think about it. changing its rating now on apple from market perform or to market perform from outperform. the analyst citing gross margin concerns, get this, over the iphone 6 cycle. of course, we don't even have an iphone 6 right now, but there's still concern about that. apple stock, a little concerning. down 1.6% which is nearly 9 bucks a share to 552.13 which is almost exactly where apple began last year. >> that's right. >> we literally just did a groundhog day with apple drop, april and june lows back to where we started again. >> it was like the big dipper, back up again. we now know all the biggest tech winners from the holiday. but who were the tech bums? let's now talk about the ones we don't want. josh lipton, you found them. give us them. >> yeah, mandy, well, santa claus has now come and gone. and we're just now starting to find out what electronics sold well and what did not.

this holiday season. in the tablet wars, infoscout, a data analytics firm says apple's ipad mini was the top seller, the 16-gigabyte version. in fact, 4 of the top 15 electronics sold were ipads. a lot of major retailers, remember, offered discounts in the form of gift cards. but it looks like microsoft's tablets didn't do as well. out of the top 15 most popular electronics products, its surface tablet came in last. that's acoucording to infoscout. it tries to compete with apple and samsung, but it has been tough going. surface accounted for less than 1% of the tablets sold in the third quarter according to idc. some android tablets also struggled. steven baker of npd saying it's been a theme throughout the year. midpriced android tablets getting squeezed between the high-end ipads and low-cost android tablets. as for game consoles, gamers, of

course, they lined up coast to coast as microsoft and sony launched new products in the fall. there had been speculation that the xbox 1 might not sell as well because of that higher price point. but both consoles appear to have sold well. still, the data from infoscout. analysts expect several products that didn't play off the shelves. brian, back to you. >> that's why you should always do your christmas shopping in january. oh, no, wait. it's already gone. >> next christmas. >> for next christmas. there you go. >> we love when you bring us the bombs. thank you very much. still ahead, one analyst says herbalife is the single best idea he's got for this year. really? we're going to debate that coming up. >> where is herb when you need him? from one big bold call to another. we are laying out our predictions for the new year. and as we go into the break, once again, folks, a weak beginning to the year. we've got 28 of the dow 30 down

to start the year. not the way we want to start it. but keep in mind what jeff sought said of raymond james at the top of the show. we still have a lot of people on vacation. he thought there was a dearth of buyers out there, not a lot of people dipping in. still will this be the way the year goes? intriguing start to the year. we're down 143. we're back after this. ♪ [ bell ringing, applause ] five tech stocks with more than a 10%... change in after-market trading. ♪ all the tech stocks with a market cap... of at least 50 billion... are up on the day. 12 low-volume stocks... breaking into 52-week highs. six upcoming earnings plays... that recently gapped up. [ male announcer ] now the world is your trading floor. get real-time market scanning wherever you are with the mobile trader app. from td ameritrade. over the pizza place on chestnut street the modest first floor bedroom in tallinn, estonia and the southbound bus barreling down i-95.

♪ this magic moment it is the story of where every great idea begins. and of those who believed they had the power to do more. dell is honored to be part of some of the world's great stories. that began much the same way ours did. in a little dorm room -- 2713. ♪ this magic moment ♪

welcome back to "street signs." let's do this. "street talk" time. sally beauty holding upgraded to neutral but not really moving that much. >> yeah, but it's still up on a down day. listen, this is not a huge boost of confidence call but the stock is higher. the analyst believes that sally beauty's outlook is looking prettier due to new brands and systems, they boosted their price target to $33, and that's about $2.75bove the current price. not a super bullish call, but on a day like today, we're highlighting some of the small winners. and on the back of the biggest shopping season of the year, retailers like american eagle and stores chico's, urban outfitters all a nice upgrade at jeffries. good green on the screen, as you say, on a generally down day. >> look at that, four winners in

the same group today. the analyst there upgraded the stock to a buy. they cite good performance despite the challenging environment. they see additional tailwinds, in other words, good winds from reduced pricing pressure and easing margins. they're cleaning some of that inventory out. american eagle has been a dog, down 26% over the past year. do keep in mind in the same call, the analyst downgraded abercrombie & fitch, can't catch a break, and aeropostale. we've also got sprint being cut to market perform. >> yeah, it's a valuation call. the stock's down about 4% right now. they expect network and marketing changes to improve, but they think the stock is certainly just currently ahead of where it should be. the stock rose by nearly 90% over the past 12 months. and i hate these kind of calls. the analyst raised the target price, but the increased price is still $2 below the current stock price. don't do that. >> yeah, don't do that. at least 2 bucks above the current price. molina health care.

>> and molina, moh, up 4% today, $1.46, a california-based health insurer, outperformed a $50 target. that is a 41% upside from where it's at now. trades at 19 times earnings. pay attention to that. still, big call at wedbush. the under-the-radar pick we've got today is ascena retail group. >> herb greenberg's. upgraded by goldman sachs. their target increased 2.30. at a current price of $22 exactly, that's 30% upside seen by goldman on dress barn. there you go. now to "talking numbers" where we hit one stock both fundamentally and technically. and today we're talking about herbalife. shares are popping today after influential analyst tim ramey calling it his best trade idea

for this year. tim writing "herbalife was our single best idea last year, and the shares did perform as well, up 139%. as we survey our coverage, nothing looks as compelling for this year as hlf." let's talk it, on the technicals, katie stockton, btig, on the fundamentals, pat dorsey, president of sanibel captiva. do you agree with tim ramey at d.a. davidson, would you buy herbalife shares here? >> what's interesting, even though it's up 140% in the past year, it's still not that expensive at only about 16 times earnings, about a 7% cash return. it's a very profitable asset like business model, very cash generativ generative. big ackman's not going away. if you're long the stock, you're caught between two guys with big bank accounts and even bigger egos. i'm not sure how that mays out. i'll watch from the sidelines. >> pat, great ending there.

so he would watch from the sidelines because i just quickly before we get to katie, that's my problem with herbalife. it could be the greatest company in the world, but i've also got pretty smart investors over here like ackman and others saying the stock is essentially worthless or at least a short. there's such a divergence of opinion on this. it sounds like it's not worth it at all to mess with. >> yeah, it's basically a binary call. almost like a biotech where it gets approved or not approved. if ackman is right, it's a zero. if icahn is right, you'll make some money. i'll hang out and watch the fur fly. >> in terms of the chart, it obviously blocks out all that other noise and just looks at the technicals. katie, what are herbalife's technicals telling you? >> the stock has obviously had strong positive momentum. like he said, it was up about 140% last year. if you look at the long-term chart, it's really been in an up trend since early 2009 with the broader market. you could view 2012 as a corrective phase within that

long-term up trend. so to me the breakout that we saw in the stock in december was a nice positive technical catalyst. it got above resistance at its 2012 high, which was about 73. and that, of course, can become support going forward. so the stock does have good support. it does have good momentum. and you can make the case for a target from a technical standpoint of about 90, at least with an intermediate term perspective. so i would be a buyer. i do think that the market could consolidate a little bit midmonth. so i don't think there's a rush to do it today. >> okay. so technically speaking, it is a buy but maybe not a rushed buy. katie, thank you very much and also thank you to both of you for joining us on the technicals and fundamentals. >> by the way, check out our online edition of "talking numbers." we do three to four stocks, part of our partnership with yahoo! finance. still to come on "street signs, snapchat's big snafu. what it could mean to the brand that facebook was willing to pay a cool $3 billion for. and here's a question for

you. which three stocks are trading at their highest level since nixon was elected president? the big mac made its national debut, and this song -- ♪ and here's to you mrs. robinson ♪ >> -- was topping the charts. bill griffeth, do you know? >> i've got kelly evans here with me as well . >> she was about ten years away from being thought about being born. >> be careful. she reads a lot and knows a lot. >> we have how many stocks trading at their all-time highs here? it's more a question of what names were around. >> i'll give you a hint. 1968 is the year. that's the year the big mac rolled out. >> 1968. >> we'll think about that. >> we'll bring it up to you. >> i don't think you want us to come up with the right answer right now, do you? >> no. don't spoil it for everybody. >> we're just playing along right now. do you know the last time the dow, the s&p and the nasdaq opened the year lower? that was 2008. >> and it doesn't bode well for how we're trading today. it's also the last time the index has posted simultaneous

annual losses. so do investors have reason now to worry about 2014? >> we'll look at that. also, we'll hear from somebody who says you should fire your financial adviser and hire a computer to do all of your investing. but i would urge you to watch "2001 a space odyssey" first. what could be a major red flag for the nfl? >> much more coming up on the first edition of "closing bell" for 2014. i can't wait to see what these three stocks are. stay tuned. tdd#: 1-888-648-6021 there are trading opportunities tdd#: 1-888-648-6021 just waiting to be found. tdd#: 1-888-648-6021 at schwab, we're here to help tdd#: 1-888-648-6021 bring what inspires you tdd#: 1-888-648-6021 out there... in here. tdd#: 1-888-648-6021 out there, tdd#: 1-888-648-6021 there are stocks on the move. tdd#: 1-888-648-6021 in here, streetsmart edge has tdd#: 1-888-648-6021 chart pattern recognition tdd#: 1-888-648-6021 which shows you which ones are bullish or bearish. tdd#: 1-888-648-6021 now, earn 300 commission-free online trades.

tdd#: 1-888-648-6021 call 1-888-648-6021 tdd#: 1-888-648-6021 or go to schwab.com/trading to learn how. tdd#: 1-888-648-6021 our trading specialists can tdd#: 1-888-648-6021 help you set up your platform. tdd#: 1-888-648-6021 because when your tools look the way you want tdd#: 1-888-648-6021 and work the way you think, you can trade at your best. tdd#: 1-888-648-6021 get it all with no trade minimum. tdd#: 1-888-648-6021 and only $8.95 a trade. tdd#: 1-888-648-6021 open an account and earn 300 commission-free online trades. tdd#: 1-888-648-6021 call 1-888-648-6021 to learn more. tdd#: 1-888-648-6021 so you can take charge tdd#: 1-888-648-6021 of your trading.

♪ and here's to you before the break, we promised to show you the three stocks that were trading at their highest level since nixon got elected, the big mac madity debut and "mrs. robinson" was topping the charts. we told you the year was 1968, and here they are. pbh, phillips-van heusen, vf corporation, parent company of vans and others, and hasbro, the toy companies. earlier today they were higher and they all thus hit their highest level since 1968, mandy, when you were in, like, fourth grade. i was years away from being

born. >> at least sixth grade, wasn't it? i just look good for my age. two big security acts to tell you about. the first could impact your kids. oh, dear. one more hack. julia boorstin, i feel like 2014's going to be the year of the hack the way we're going. >> oh, unfortunately it's not off to a very good start. if you or your kids use snapchat, mandy, your data may have been compromised. the online user names and partial phone numbers of 4.6 million users were posted by hackers on a website called snapchatdb.info. it has since been taken down. now, the hackers say they were just trying to raise awareness about snapchat's need to increase security around personal data. now, in an unrelated attack, skype's social media accounts were hacked by the syrian electronic army, attacking skype's parent company, microsoft, for participating in the nsa's communication monitoring program. now, the hackers posted on skype's twitter feed, quote, don't use microsoft e-mails,

hotmail and outlook. they are monitoring your accounts and selling data to the governments. they also shared steve ballmer's contact information. skype itself wasn't compromised, but hacking the social media outlets of skype was all designed to raise concerns about the service. mandy, it's certainly not looking very good. >> it doesn't sound good. thank you very much, julia. coming up next, we are breaking out the crystal balls again. we're going to deliver our top three predictions for new year. actually, have a little sneaky fourth thrown in there. here's a hint. i just got a whole lot more confident about my prediction for snapchat. we are bracing for snow in the northeast. also hit the midwest as well. but we are going to take you to one of the hottest places on earth right now. [ female announcer ] who are we?

we are the thinkers. the job jugglers. the up all-nighters. and the ones who turn ideas into action. we've made our passions our life's work. we strive for the moments where we can say, "i did it!" ♪ we are entrepreneurs who started it all... with a signature. legalzoom has helped start over 1 million businesses, turning dreamers into business owners. and we're here to help start yours. aflac! got 'em. ♪ yeah, he's clean, boss. now listen to me, duck. i have an associate that met with, uh, an unfortunate accident. while he's been incapacitated, somebody's been paying him cash.

now, is this your doing? aflac? now, if i met with some such accident, would aflac pay me? ♪ nice. this is your stop. [ male announcer ] find out what aflac can do for you and your family... aflac? [ male announcer ] ...at aflac.com.

. let's check the markets. still down by 128 points on the dow. triple-digit losses. this is the first down day we had on the first trading day of the new year in many years since 2008. let's bring in ben willis before we hit the panic button or get nervous.

ben, to what degree is all of this tax related? >> reporter: i think if there's any explanation for it it's explain as some tax loss selling going into the new year. the only button people need to hit is the buy button. this is one of the few opportunities you'll buy a dip in the marketplace. we've wait ad long time for a correction that really has never come. last year in 2013, the best correction we had was about 5% which technically doesn't even qualify as a correction. so i think quite frankly this day you got a lot of traders off the mark and scratching their heads. the anticipation was to see money flows coming in today and see significant bids but today if anything a buyer strike. >> i think you're right, ben. going through some new taxes and reduced or end of deductions people will be surprised by a large tax bill and sell some stuff. but hey if i'm 42 as i am and my retirement is 20 years out to me that says long term buying

opportunity. >> reporter: absolutely. if you plan on retiring in 20 years, brian, or somebody like me that right now cannot retire any time soon, but if you're in bonds right now you won't be retiring any time soon. that will turn out to continue to be a very bad trade and this continues to be the equity market where there is no alternative investment. you're seeing some buying coming in to some of the bonds today i think because of the 3% yield attracts some natural buying instinct which i think will turn out to be a mistake. you see gold up $21 in one day. again, some nervous reaction to the overall market activity but the equities will eventually, i think, win out the day by the end of 2014 once again. >> ben willis, thank you very much for joining us. it is the first trading day of the year. we'll unveil our predictions for the new year today. three things you are guaranteeing will occur this year. >> no guarantees in this business. but this is my prediction.

bit coin with it move higher. there could be some wild swings. it will also have some competition. there's already some i think they are called out coins or crypto currencies. i just feel like the market on bit coin needs to be acknowledged and needs to be regulated and legitimatized and major companies will start accepting bit coin. like overstock.com. second prediction, australian dollar is around 3 1/2 year loss. i believe it will hit below 85 by the end of the year. reasoning? they could cut rates further. the australian dollar is way too strong to cushion the blow from the mining boom fading off. 2014, brian going to be the year of the google glass. the year of the glass, i believe. we've already had a reveal of an upgrade just this week. i think spring of this year will

be the major general public commercial roll out for google glass, prescription frames are on the way as well. wearable tick is where it's at. >> no battery life. very few apps. and high likelihood of being punched in the face while wearing them. i know a lot of people like them. i'm sure they are cool. if somebody is wearing them in front of me i would turn my back because i don't know what they are doing. what if they have an x-ray app. >> note to those who have google glass. my bonus pick, snap chat. we'll regret turning down those multibillion dollar bids. honestly this is the year of regret, i think for snap chat. >> ask the groupon guys. so mandy's predictions. what do you think. here are my predicts. i've been bullish on stocks.

unfortunately the dow will be, i'm thinking 0% to 5% for the whole year. i wish i was optimistic on equities. it's just hard for me now. also, mexico. i'll never replicate my nikkei call from last year. once in a lifetime prediction. on the nikkei -- >> mexican wave. >> to be fair and i want to be clear on this, the mexican stock market has had a good run. this would be a five to ten year call but i think this year it's going to gain more steam, so there you go. also, rain on the cloud. i'm not talking about opportunity from oracle and amazon. pure play cloud companies are trading at market caps greater than their entire investable opportunity. if they had every customer in their segment in the world they wouldn't have the revenue to match the market cap. i think it's like dot-com. cloud computing is computing.

there's no more cloud computing or native computing. let's end the term cloud computing right here and tart calling programs that run natively ground computing or just bad computing. >> like a very grounded prediction. >> my bonus pick. gold. i've been negative on gold for three years. with respect to mules, they work hard. gold is an old mule so maybe i shouldn't compare them. i hate gold but love mules. >> up next the hottest place on earth right now. ♪ waiting to happen.

check your credit score, check your credit report at experian.com. okay. it's going to get nasty here in the northeast. this is a live picture of boston as we here in new york city we could be looking at ten inches overnight. on the other side of the world, aka my homeland they are absolutely sweltering. parts of australia set to reach almost 122 degrees fahrenheit. mostly in the outback. you can see some of the places where it's sweltering. all these outback towns. brian, 2013, was the australian's hottest year on record. hottest year on record 2013. >> when did they start keeping records? >> back to the record keeping -- >> which began in 1974 when you

guys got electricity? i'm just kidding. >> first day back from holiday. >> single greatest country ever founded by criminals. >> that's true. that's a great compliment. >> lot more on the markets coming up. "closing bell" which have much more. >> see you tomorrow. and hello, happy new year and welcome to the "closing bell". i'm kelly evans here at the new york stock exchange where 2014 by the way starting out very differently than what happened on this date in 2013. >> i'm bill griffeth. remember what happened last year? last year on january 2nd the dow finished up 308 points. >> one of the strongest gains all year. >> a monster rally. not the days today. what happens the first trading day of the year usually, historically, typically, we want to qualify with all different kinds of words here,