pleasant for the equity market. >> thanks to all of you gentlemen. have a great holiday weekend and tune into a special jobs friday edition of "squawk box" tomorrow morning. the game will be covering it all at 8:30. and now it's time for "fast money" with melissa lee and the gang. what's on tap? >> the volatility we have seen in the biotech sector. good to be back. >> straight over to you guys. >> "fast money" starts right now. live from the nasdaq market site overlooking new york city's times square, i'm melissa lee. tim seymour, david seaburg, karen finerman and guy adami. here's what's on the fast track tonight. one area is starting to break out, not in the u.s. we'll show the chart and the sector that is starting to take off. and our call of the day, tesla catching a bid and it's not because of a tweet. so we'll tell you how to play the bullish comments out of one wall street firm. but we start with a developing global story here. oil selling off today on framework for a nuclear deal with iran has been reached. we've got the details back at

headquarters. michelle. >> after more than a year of negotiations, everybody involved said they have the framework for a deal that the white house says means iran would need a full year in order to create a nuclear bomb. here are details. iran will go from 19,000 to 6,104 centrifuges. their four-door facility will no longer enrich uranium for 15 years, they will only enrich at their facility. inspectors will have access to mines for 25 years. centrifuge manufacturing will be frozen under continuous surveillance, and the u.s. and e.u. nuclear related sanctions will be suspended after verification. the last point, very important, this deal isn't done until june 30th when they can agree to all the details, and once it's proven that iran is complying. this is what the president said about it late in the day at a rose garden ceremony. >> it is a good deal. a deal that meets our core

objectives. this framework would cut off every pathway that iran could take to develop a nuclear weapon. >> next steps are to see how congress reacts and whether or not it's going to pass muster there. melissa, back to you. >> michelle, secretary of state john kerry in his press conference out of switzerland made clear this is a deal where there is no sunset. in other words, continual monitoring has to take place. and president obama made the same point. what is the pathway to lifting sanctions? does it all happen at once, june 30th, if they pass that final test? >> it's gradual. we were told it would be phased and gradual. we didn't get more details than that. at the same time, remember, there's a lot of other sanctions imposed on iran not related to their nuclear facilities. they're related to being on the list of the state sponsors of terrorism, about backing groups like hezbollah, et cetera. those will stay in place, regardless of this agreement. >> michelle, thanks so much. michelle caruso cabrera.

where we did see the sharp reaction in brent. down as much as 5% at the lows of the session. >> i think he priced in a lot of bad news here. a couple questions with the irany supply. how much is getting smuggled out of iran, and how much is needed to rebuild infrastructure to actually pump as much as people think. i think ultimately, we have seen the bottom in brent. and i think at 46, $47 range that we saw in mid january, early january, is something that might be tested in the low 50s. how much -- one of the places people felt comfortable were refiners. if you look at refiners, there has been global capacity increases that have been giant. so a lot of people may have had the good run. but in the u.s. capacity, the marginal guides, the apaches -- excuse me, the anadarkos where you want to own, you have good balance sheets and can withstand a bigger move down. back to the u.s. is how you play it. >> it is said that iran has 20 to 30 million barrels of crude oil stored in tankers out there.

so potentially, that could be released on to the market and cause even more of a glut. >> yeah, the question is the time line when they get to release. look, i agree in playing the u.s. for the long side. because i think the hedge funds now are set up short. the long only community, the mutual fund community, they're very underweight in this sector. i think oil has found a bottom. i think people generally believe that, 33, 34, is where this would settle in. so i'm a buyer. the hard thing is buying single stocks, right? there is a lot of issuance risks you have. so i worry about buying single stocks in this mark. the xops is what i would be buying on a pullback. >> karen. >> if you want to go to a specific stock name, we look at the free flowing of oil, more oil looking to be shipped around the world, leads me to the tanker space. a name like navios popped up nicely today. sold some into that, because i think this would be sort of a short-lived, the bltc space

which has been pretty good. >> right. do you agree we have seen the bottom. >> welcome back, by the way. >> very good to be back. >> indeed. >> no, i don't think we have seen the bottom. what was interesting, and tim mentioned it, the obx had a big pop -- >> volatility index. >> late in the day. that was down, so ovx closed below 50 and brent t.i. was interesting. huge move. it's imperative to me it holds 85 bucks. if you're going to trade, you trade against 85. >> even though the seasonality of the trade is over. >> exacerbated today. i think t.i. will catch up on the down side. i think the spread will go back to levels where it will make sense again. >> oih, the etf, has been sort of decoupling from oil. so we have seen it rally again today, another percent, with oil selling off, 1, 2%. >> yeah. do you agree with guy in terms with sticking with refiners?

>> i do agree. i love the high quality. there is a basket you can buy. you know, i mentioned the etf exposure there. i think it's very tough to make single stock bets now. from my perspective and personal trade, i'm not going to make that single stock back because i don't know where the issuance is going to come and the impact. >> when you're talking about issuance, health of balance sheet, more equity. >> bigger acquisition. >> like a whiting. >> right. >> time now for the turn of the day. tim is watching emerging markets. what are you watching, tim? >> i'm watching ranges. if you want to go back four years, em long, short s&p has been one of the worst trades you could do. two things happening now. first of all, you're not seeing a double bottom. look at this chart. if you look at the double spread, this is put the eem out there and divide by the s&p. that's the ratio we're looking at. you can see around $18.50, .1850, the spread hits bottom. what's happening over the last four or five -- actually, two weeks, emerging markets have outperformed the s&p by almost 7%. to me, this is happening at a time when the dollar has been --

emerging market currencies have been beaten up, but actually holding serve in the last month. and i think emerging markets actually start to do better -- >> what does it mean? >> well, it meanings they're not getting tanked so the brazili brazilian -- the poster children for those most beat up and emerging markets have had these bouts before. i say watch the eem. if you break through there, this is a trend that can continue and underlying -- brazil has been on fire. >> yeah. look, i totally agree with that. i think that emerging markets is really a place to be now, versus the s&p. you know, i look at the s&p and look at earnings and say simply, you know, we're seeing a down draft in earnings. i mean, guidance is coming down across the board. and look, you know, only way this market is going higher is if people are willing to pay a higher multiple. and frankly, i don't see it. we're going to see a slide in earnings, and it's going to continue. i don't think people are going to be willing to pay a much higher multiple for stock market. so i'm absolutely in the same camp as you. i think the emerging trade is the trade to have on now. >> what's interesting, outside

of that, the one thing that gives me concern in the s&p, and that's traded really well, but the transports down almost three quarters of a percent today. >> are you a dow theorist? >> i don't know what that means. >> that's a transport -- >> a tennis player, which finerman was. >> she was very good at tennis and still. >> getting back to the dow. >> anyway. >> the transports scare me here. we had trouble 168 from november, a few times traded up and failed. 154 where we are now, to me, critical support. you break through there, is the russell the next to go. closes below 121, maybe the third down is the s&p. russell above 121, i think we're okay. but to me, critical that the iyt holds -- >> you're concerned about the s&p 500 cracking at this point. concerned. where would you go? to david's point, would you go to an emerging market? >> still single stocks work. tesla traded down to levels we talked about forever. it gets down to 180. >> i saw that. >> reverse goes higher and now tesla, tesla, tesla.

>> and we'll still talk tesla, by the way. >> one point in the iyts, though, from the perspective of the airlines. the numbers are coming down across. we saw that roll, deutsche bank. and i think they're going to be revised. i think there will be a massive buying opportunity. the rails, there is a lot of noneconomic factors that brought those to different levels. i think the transports and in some ways setting up for a buy, especially in the airlines. >> ibm, a new reuters report this afternoon says ibm has hired two investment banks to fend off any potential investors. is it a sign for the beleaguered tech stock. that's next. and then many on the street call him the godfather of biotech. he says how to understand to invest, you need to understand the four groups. he'll tell what they are, coming up. plus, a top analyst will tell you the best tech plays to profit off emerging market growth. that's coming up on "fast."

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we've got a news alert. kate kelly joins us on the fast line. >> melissa, pershing square up 3.5% for the first quarter, losing a bit in the very last

week of the quarter, actually, because they had been on track to be closer to 5% as of march 24th. march was a down month for them. they lost about 3% for the month of march. so you can kind of see where they had a little bit of a drag there. unclear exactly what benefited and what hurt herbalife, obviously a moving target in the last year or so. obviously had a very bad last 12 months or so, more strength recently. other top holdings in the portfolio as of last check, anyway, was allergen and air products. curious to see what language they come out with in a letter. for now we know their performance is certainly better than the market's, about in line with 3.3%, not a whopper. but respectable, especially given the benchmark. >> kate kelly, thank you so much. we do track on "fast money," a lot of holdings, herbalife being one of them. >> i think he'll wind up being right in terms of what his views

are. it had a huge flush to the down side and since recovered. 42ish now. i think the stock trades low 30. it's huge. i'm not saying folks go out there and short. this is for the $100 table. you don't want to mess around here. >> higher than that. >> this has been going on forever. when do we get some real details on this? doj, massive investigations into this process. when are we going to have clarity? how long is this going to last? >> that's why this is a difficult trade to be in. there's no end point. >> that's why you can't ride side saddle with these guys. it's a very dangerous thing to do. i will say i think activism is going to continue to be how you make money in the second half of this year. right now, i would not -- >> speaking of activism, ibm, and reuters reporting top ibm investors are pressing hedge funds to take interest. reuters saying bill ackman looked at ibm but decided to pass. ibm also apparently working with two investment banks to defend against the possible activists'

attack. guy. >> ibm's stock down 2,013 early. we have been talking about this for a long time. that's been right. i guess the good news is the 154 level we traded down to and seemingly bounced from is the same levels we held in late 2011. if you want any consolation. but this becomes a math problem to me. what's the right multiple, how much are you going to make. throw a nine multiple on 16 bucks and you get a $44 stock. more aggressive, given their growth rate and businesses, you could say there should be an eight multiple. obviously makes the stock worth less. so do they need something, yes. activists something. but i still think the stock is grim death. what. >> is interesting is why reuters reported, the activists said no, because it is too expensive and because problems are too difficult. structural problems are too difficult to solve. >> and the size i think makes it not impenetrable. we saw apple subject to acts of pressure. but i think that rennety wants to see the stock trade better.

and focused on the long term and a shareholder. that is a big vote in her camp if she thinks she's got to do things that maybe not short term value are created but longer term. so i wouldn't be hope -- i wouldn't be in this name, hopeful that an activist will make something happen. next up, reynolds american met with the fdc to further discuss merger talks, several reports saying should receive approval with no major modifications. the entire space traded higher on the day, tim. >> those two lost it on the announcement on tuesday. if you're playing tobacco stocks are you're not necessarily playing from the merger perspective or the merger arm. right back to the levels it was at. you're playing because they're high cash flow, they pay high dividends. in the case of both companies, they have done remarkable things in the last years to diversify their businesses away from smoking tobacco. and certainly the e-signifies are one part. but if you look at altria, this is a company, for example, that,

you know, m.o. is a ticker, they are so diversified across the other space, holdings in beer, holdings in booze. all those things, maybe vice outlets for people. these are great stocks to own and i stay long both of them. >> well, if the oligarchy gets smaller and smaller for whoever is left in it, that's nice. good pricing power. >> i like altria, as well. 10% grower, a core holding of the institutional space. i like it. good long-term play. >> call of the day now. credit sweeps reiterating tesla saying the outperformed rating on the $290 price target delivery guidance for the first quarter looks, quote, unquote, beatable. china may be turning a corner when it comes to competition in the mid size luxury sedan market. they're optimistic about china but say it won't be much of an impact for 2015, but more likely a medium term story. you have never liked tesla. >> we're talking about a medium term story. everything here is a longer-term target. everything is a range. they keep missing on the current numbers. and we're going on a dream here.

i repeat. a very, very expensive company, a company that to me is also going to continue to spend r & d. their costs are not going to come down, margins are not going to get better. i'm waiting for this giga battery to blow up. >> i get that, but it's still a trade and it's traded terribly and recently picked up. >> tim talked before, it's going to test those may lows, it did traded down to 180ish and bounced and has been rallying since. i think play from the long side. exactly what we thought. we don't always get it right. we got this one right. and i think it's poised to break through that 225 level that's been resistant. >> in terms -- april 30th, earnings coming up, and potentially have a couple data points. >> definitely. look. my position, i'm playing from the long side, as well. 265 bucks, 280 -- it was way overvalued. but low 200 bucks, very interesting. you see the short interest this past month, over the last 30 days, it's increased by 30%. thing is a trade here from the long side. i think that, look, the price is just too attractive here. >> so your point is the short

interest is increasing and therefore you get the squeeze. >> look, this is a high-growth company, betting on what's to come. it was priced for perfection at 250. and it was all about execution. i think below 200 bucks, you can get a trade. next, is the biotech bubble really bursting? who better to weigh in than the person many call the godfather of biotech himself. the chairman of biogen joins us after the break. plus, as the emerging markets break out, we've got your under the radar tech trades that could be the big beneficiaries. back in two.

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biotech's huge run may be coming to an end. the three major etfs have tracked the sector stalling but holding on to the double digit runs they have seen this year. our next guest has been called the godfather of biotech, the chairman of three biotech companies right now that have all seen huge gains this year. let's bring in biogen chairman, sell i couldn't say pap drop list. great to have you on the show. we are honored to have you here. it's interesting, because when people talk about a bubble in biotech, they talk about as if it's a monolithic entity, when actually the companies are so different in the market caps are also so varied. >> totally true. and i'm glad last thursday you began addressing this issue. and i was hoping to have the opportunity to identify the micro climate of the market, and answer the question. because speaking about a bubble,

generically, is a mistake. a bubble means generally a broad disconnect with price and value. we don't have that, because we don't have the homogeneous markets. we are several micro markets. we have the big four. am gen, biogen, gilead. those are highly understood. very well covered, excellent growth the last four years. good prospects for growth. everybody knows what the value should be or could be. there is no sense of talking about a bubble in that instance. you've got another 15 companies, 5 to 50 billion market cap zone. alexian, regeneron, vertex, very good companies. mostly product stories, mostly revenue-driven. none eps driven, but very well-covered, very well understood. maybe there is some optimism, we're in a generally optimistic environment as far as equities are concerned.

but again, i cannot see a bubble there. the next group is what i find more interesting, a company collective 200. it's about 200 stocks going public as far back as 1980 that don't -- people don't seem to care about them. they're in a show-me category. they have disappointed so many times, so often, so significantly, that they need to show that much more than anybody else to get anybody's attention. once in a while, they'll do something, they'll get people's attention, maybe get taken over, and off they go. and now comes the fun part. the aspiring ones. and these are 185 companies can that have gone public since 2010. already you can see this is a very big number, because it always matches all the existing companies that we have had in the market so far. within that group, you've got about half trading below the ipo price. obviously, no bubble there. the remaining, you've got 67

companies of the rest that are trading above 400 million market cap. you've got 35 above a billion market cap. you've got 17 above $2 billion market cap. these are pretty significant numbers. the probability that any of those will really turn in some way that would be equivalent to the successful ones, you know, is a question that we should ask, and go to some specific stories later on and talk about that. >> that's my question. if we have an irrational exuberance among one group of companies that have seen huge run-ups since their ipos, what ends that optimism about them? what brings the class back down to what you believe are more reasonable levels? >> well, look, the hidden subtext of the question is what people have been talking about that led to black swan. what is that big trigger event that is going to end this market. and the puzzling thing to me is

why people are suggesting that when, in fact, i've never seen anything like it ending a prior market. but then again, i've always said on wall street history is either ignored, revised or misinterpreted. so why would this time be any different than any other time. but i think markets like most other markets end in a whimper. they end unexcitedly. it's usually because there is another sector that becomes a mar attractive opportunity for investments, and slowly you go through three down days, and one up day. and another two bad days and a good day, and volumes are like trickled down a bit. >> is this the whimper you're talking about, what we're seeing the stall? >> here's the funny thing. when it happens, you don't know it. but you wake up one day, three months later, you say, oh, my god. you're 40% down from the old-time highs. we're out. and all of a sudden you realize, cyclicals are exciting or brazil is the place to be. or energy stocks are the ones -- >> just to push back, though, could this time be different?

i hate to say that, but could it be different, because you have many more generalists entering the space so we see the volatility even in the largest cap biotech stock, biogen, for instance. huge volatility in the stock even though it has a tremendous balance sheet and has a very large cap. >> well, to me, it sounds like love. could this time be different. and it's never different, because, in fact, every other bubble type market, they don't want to use, it always brings halfway through the generalists in the original market. that's part of the reason why it ends, because they're the ones that get nervous, and start pulling out, and obviously everybody is talking about this at this point. so are we going through this right now? i can't tell you. i don't know. but are we likely to go through it at some point, probably. but it will not be because it would be some singular event. we have had singular events. we had janet yellen talking about something bad, we bounced back from it. you said something bad last week. people thought you brought the

market down. you didn't. it bounced back again. so you're not a black swan. i can assure you of that. >> one last -- >> one last question for you. amid of what you're saying, is biotech still a good investment right now? >> i think if you know how to pick stocks, it's a great investment. because amongst those 17, $2 billion or higher, there would be two or three that would be regeneron -- and by the way, happy birthday to 24 years of the ipo of regeneron. great stock. great company. >> there will be a few -- there will be a regeneron, a lexi on, a celgene. but it's also mathematically certain all 17, 2 billion market cap higher are not going to be regenerons and gileads. that's just a given. but just like big stocks, these are not big baskets and assume the winners will carry the losers. >> it was a pleasure having you on. we hope you will come back to "fast money." >> i'm always here. >> the chairman of biogen.

>> keep going. >> yeah, your shot with biotech. >> yeah, i mean, you could pull up a chart. if you can pair biotech in this current bull market to computer stocks in the bubble period, very different chart. looks very different on a chart. but, you know, mentioned a very important thing. and we say this all of the time. it's not going to be a biotech-centric event that derails biotech. it's going to be a sector that shows more promising growth, period. >> or a marketing event. >> or liquidity. >> ring the register. >> that's where people are most concerned. but he made a very important and simple point, which is that do your work, some stock-picking. biogen is a company that trades 24 times forward earnings. it's basically in line with peers, but might have the best pipeline and might have the most growth. do you have to buy it tomorrow? probably not. stock looks a little volatile here. but certainly worth -- >> one thing i'm a little afraid of, owning all the etfs, when people think the bubble is

bursting, they go to the most liquid, often, first, because they need liquidity. so the big ones, which are the most liquid, could really -- >> easiest, you mean, yeah. >> etfs are great on the way up but lousy for individual stocks on the way down, because etfs wiped up driving individual stocks. everything he said is exactly what we have been saying all along. there are real companies within biotech. 75% have zero or negative earnings. but the four or five names we talk about all of the time are real companies that don't trade. >> after the break, it is a media play that could be on the verge of a serious breakdown. we are talking a stock with a few technical difficulties ahead. and later, let the madness begin -- or continue, that, is. with our next round of "fast money" madness, a "fast money" round between apple and cisco. only one can win and advance to the final four. stick around. i was determined to create new york city's first self-serve frozen yogurt franchise. and now you have 42 locations. the more i put into my business the more i get out of it.

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♪ >> still ahead on "fast money," the nasdaq in times square, emerging tech plays. a top analyst tells you the best ways to play growth in the emerging markets. and technical difficulties.

one stock in the media space that could be about to break down. we'll tell you what it is and how to play it. and can cisco knock apple out of "fast money" madness? we'll debate which stocks moves on to our final four, and you get to vote too. so start tweeting your picks right now. #fastmoneymadness. emerging stock markets outperforming the u.s. so far this year. our next guest says some under the radar names in cyber security and software space could stand to benefit from growth abroad. let's bring in the managing director at uvs. great to have you with us. cyber security looks surprising to me, actually. where -- is -- is going to have the most growth in terms of which emerging markets and which companies are poised for that? >> yeah, we think there's no place to hide in cyber security. many of these companies in emerging markets are subjected to the same risk factor happening here in the united states and the hacks that have happened in europe. so there are three vendors that we think are well-positioned,

palo alto networks, and fire eye and ford net, all three of which have an interesting position. and we think it's not a winner take all like google or amazon. it's chief security offices are taking a layered approach to security, not going with one, but many vendors to build the cyber infrastructure. so we like that play. and then on the cloud side, we think companies -- the old-school companies like adobe and autodesk have an interesting play. today, unlicensed soft fair market globally is $63 billion. of value that's been destroyed due to pirates. and most of this piracy happens in emerging markets. so we believe, as you move to the cloud, which adobe and autodesk solutions, there is actually a way that both vendors will benefit with their creative solution like adobe has and then for the building infrastructure and manufacturing sector, auto it was desk will benefit from that. so these are long-term trends. these are not, you know, the

next quarter, next two quarters. it's over the multiple years we think there's a -- there's a play. and it's probably, again, more near-term of a catalyst for the security industry right now. >> yeah, i mean, look, david seeburg. i agree with you. when you said slow growth companies or older companies. slow-growth companies like cisco or ibm, they benefit. there are infrastructure plays i would be long here taking advantage of an emerging market uptick. so what's your thought on that? i really think the money could flow back into some of these names, just on that sort of safety trade and possibility. the opportunity that could exist abroad. >> yeah. i'm not the cisco or apple analyst. i would agree, when you look at the money i've spent on apple and my family spends, certainly they're gaining share in many households on a global basis. and i think that's an interesting play. cisco does have a security business. they are losing share in security. but as i look at it from a perspective, there's an

opportunity for cisco to play in this. but unfortunately, the peer play security vendors have been taking quite an amount of share. >> when we think about which emerging markets will provide the most growth, is it macro trends you're looking at? when you say you see the most growth for cyber security in brazil as well as india, is it the macro trend that will carry these companies or industry trends? >> no, it's the industry trend. you look and it's security -- there is a massive opportunity. everything is going digital. everything in our life is not going to be paper-based anymore. it's going to be all digital. and that has to be protected. and if you go back to, you know -- there is no dominant force in security today. no vendor is taking dominant share. there is a next generation of security vendors we believe strongly in, that are really helping companies fortify, you know, the breeches. and again, we mentioned the three vendors we like in that space. that's a theme happening on a

global basis. and the move to the cloud is another theme across tech. you cannot pirate the cloud. you just can't do it. so -- and you can get into the solutions at a lower cost. so the higher please points that historically plagued emerging markets going to adobe's creative suite between 700 to $2500, now you can get going for a much lower entry price point in the cloud. >> brent, got it. thanks so much for your time. good to see you. >> the macro trends are not good. if you listen to cisco, they're not telling you their business is stronger, they're telling exactly the opposite. the move to the cloud -- adobe is an embedded security play. the problem here with all these guys, i look at adobe and the valuation, that's not typically how i like to play. it's very, very expensive. but that is the move. it's the move to cloudy like more. >> in cyber security, there is one stock we have followed from its peak and back again. firefly, up 22% year-to-date. >> we've had the but off 15%.

the stock got obliterated. since then, it's done well. i think fire eye is interesting. i still think best in breed is palo alto networks, which is expensive. i get it. and the journal had an article stating exactly that. and they also said it's not as expensive as it seems. and if you look, their growth rate maybe sports a multiple we see. >> pops and drops. a pop for imax. up 2%. >> doing again, laser technology just released "furious 7." it's a company that continues to find ways to raise that multiple. it's a very expensive stock, but i wouldn't bet against these guys. this is not news to buy the company. >> drop for qualcomm. >> march 9th, march 10th, announced that $15 billion repurchase right before our show. the stock spiked up to 75. has not traded well since on what's been a decent take. i think the stock is headed down to 62 levels we saw a few months ago ahead of earnings. >> pop or drop. seaburg.

>> i'm short of this stock. it's an absolute no motor on their business. anybody can come in, like a facebook or google and recreate what they have. they have the manpower and technology. they can do it in a short period of time. they do it. i don't think it should take out target. i'm a seller. >> pop for macy's up 4%. karen. >> yes, i think it was up on a story that they switch a southern department store up for sale. that would be a $4 billion revenue business. i actually would like the idea of macy's acquiring. no idea if it's true. >> have they ever done an acquisition like that? >> they did by blue mercury, which was small. they are the result of a merger of big chains. not out of the question. >> media companies, scripps networks, already down nearly 8% this year. could the changes be starting? time for this week's final installment of technical difficulties. where we look at specific stocks or sectors about to break down. joining us now is ari wald, head of oppenheimer. what do you see that's so

troubling in scripps? >> hi, melissa. you know, one thing we have been talking about with clients is the importance of stock selection here. six years into this bull market, a lot of stocks are behaving differently. one such stock with technical difficulties is scripps networks interactive, sni, a $9 billion market cap in the media industry. here's why the chart is so bad. and it's really textbook topping pattern right here over the past two years. and it started with the double top at $86. two failed attempts to -- unable to push through there. next we had the low or high coming into the year. we can see the downward sloping 200-day moving average as confi confirmation. and most importantly, most recently now, the big breakdown below $72. here are the levels you have to watch. now that $72 is now a level of resistance. sell into that level, i think any kind of rallies stall there. on the down side, one measured

objective we can use, take the height of the pattern. about $14. it measures to 58. falls in line with that 2013 level. i think that's down side to risk. overall, distribution pattern, sellers now in charge. sell this stock. >> all right. so it is a short, ari, correct? short? >> i think it is. >> ari wald, thanks so much. got to leave it there. david seaburg. you are nodding. >> i'm a seller, as well. tv ad market is going lower. i think the stock is definitely going to go up. >> mentally -- >> fundamentally, i don't like it. i think it's a sell here, as well. and i think they're much better having good content than owning a bunch of stations. so i look at this company and say it's a sell here. >> news alert here on lora lard. >> the headline here, melissa, guys, the ftc, the federal trade commission, is considering a possible settlement to allow this merger to go forward, although it's important to note, no agreement has been reached

and no final decision made, leaving the outcome very uncertain. this according to a report from reuters citing sources. the companies have been meeting with ftc commissioners, says the report to discuss this merger, people familiar say some key staffers within the ftc have raised objections to this merger that would bring together the number two and number three tobacco companies in the united states. now also looking at what's happening again, as well -- according to dow jones citing sources that they are trying to head off these anti court trust concerns, and the companies again have been trying to maybe propose shedding key assets to the tune of $7.1 billion. so, again, it looks like the ftc is contemplating some kind of a settlement agreement that will allow this merger to go through, but no decisions made. that according to dow jones citing sources, of course, our own david faber as we all know, melissa, has been doing extensive reporting. so an interesting development on this front. back over to you guys. >> thanks,dom, for that news. next, the final second round

battle in "fast money" madness. and tonight we're heading back to the big tech space for apple and cisco after beating off the first round. only one big tech stock can move on to the fab four. find out which company moves on and which moves out, after the break.

time for our "fast money" madness tournament. 16 tech names compete for the title of "fast money" champion. throughout the competition, we'll have exclusive previews each day on cnbc.com/pro. and tonight our final match in the second round. a big tech battle between apple and cisco. apple has been the clear winner today, up 13%, cisco dropping 2% so far. don't forget, your vote counts too. log on to twitter using #fastmoneymadness. the viewer favorite will count as one vote and it has broken ties in the past. each trader gets 30 seconds. 30 seconds on to the shot clock. kick it off, tim. >> look at it this way. apple came into this tournament clicking on all cylinders. they've got a fast game, showing they have a slow game that's worked and they can beat you in so many ways. cisco to me is a company that really is challenged. and we talked about the emerging market headlines. again, i look at apple and say this is a company that is

adapting. they get down the court fast. ultimately, i think in the short run, they played some of their best ball but i think they can still ride through to the finals. >> nice sports metaphors. seaburg. >> i love apple, a stock i've been pushing for a long time. apple, the 6-plus and 6 will be bigger than people think. i do believe the watch is going to be something that's very dynamic for them and bring some revenue in that people aren't anticipating. i love the apple pay. i think it's going to bring more users to the platform and device sales. i love the stock long term. cisco, i don't. i really do think it's dead money. you basically own cisco for one reach. if there is going to be a rotation and a high-growth tech, you buy cisco. because that's where the money is going to hide. long apple. i'm not a buyer of cisco. >> to your votes for apple. karen, do you tip apple into the final four? what say you? >> suspenseful, yes. >> wow. >> it is a premier world class franchise, which everybody knows. the valuation, which i always focus on, is really not

expensive. and you have tim cook being very shareholder friendly, looking to allocate capital in a different way than steve jobs ever did. and for all those reasons, i like apple. >> so guy, you know what that means. it means it doesn't really matter. >> we don't really care what you think. >> we care, we care what you say. so what do you say? >> come on, guys. we care. >> you know, this -- >> we care. >> so insincere. >> we wouldn't care what tim said. >> apple. >> better management, balance sheet, products. apple. >> and you know what -- >> who do you like in the finals, sister. >> you mean this? i have no idea. >> let's go with kentucky. safe bet. >> kentucky, yeah, all the way. >> yeah. >> on twitter out there, in case you wonder, you all said apple, as well. so clean sweep, apple advances to the next round. don't miss the exciting conclusion of "fast money" madness next week. on monday, we're moving on to the fab four of tech where the winners face off in the championship match, and be sure to log on to cnbc.com/pro for

exclusive reviews ahead of each match-up. still ahead, one tech company traders are betting could turn things around ahead of earnings. that's next.

here's a tech company having a rough year, falling 14%, but some traders bet on a rulely. mike has the action. >> so we saw about 18 times the average daily call volume in net app, and started fairly early this morning. the most active options were the june 40s, the first lock a 5,000, trading 32 cents and by the end of the day, more than 10,000, an average price of over 35 cents. these are bullish bets that net app could be up more than 13.5% by june expiration, with is a little less than 80 days away. right now the stock is trading at a valuation that's pretty cheap from a historical standpoint and people have not been thinking very bullish thoughts. but the options market seem today to be thinking that maybe there could be a turn around coming sometime soon. >> thanks for that. mike and cofor more options, check out the live show, 5:30 p.m. eastern time next friday, because the equities market close tomorrow. >> two weeks in a row you usurped. >> oh, yeah, sorry, fans.

coming up tonight, cramer with the ceo of realty investment trust and where to shop and who to drop in the retail market. all that and much more, top of the hour on "mad money." meantime, we've got your first move monday when we come right back. stay tuned. time and sales data. split second stats. it's so close to the options floor. you'll bust your brain-box. all on thinkorswim. from td ameritrade

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quick programming note for tomorrow. be sure to tune into a special edition of "squawk box," live from 7:00 to 9:00 a.m. with full coverage of the jobs report. the equities market are closed, bonds trade for half a day. so got to watch that. all right, you tweet it, we trade it. let's get to your tweets. this is from tim. do you think we bottomed in mccow in terms of wind wynn resorts in las vegas. >> all look cheap on an earnings basis. i think as we talked about with mgm, there's different stories. i like mgm to play the entire space and also a catalyst in the

land property, et cetera. i like mgm. >> we were talking about nick woodman in the break. can gopro surge higher? >> got upgraded, a a5 price target. and now it's becoming a content company, and million downloads on xbox. so can it, yeah. $40 is on the down side. >> let's go around the trade. tim seymou seymour. >> yndx. >> david. >> xop, like it from the down side, to play the oil and gas space and i think you can do without having single stock. so xop is my trade, long. >> karen finerman. >> yes. google down today on fears of an eu antitrust suit. maybe they settle, maybe they don't. this could weigh on then for a long time. i think it's this valuation, very good to own here. either the goog or the l, don't obsesseded. >> welcome back, sister. tesla, reverses --

>> wow! >> tsla. >> i'm melissa lee. thank you for watching. see you monday at 5:00. happy passover, happy easter to those celebrating. "mad money" with jim cramer starts right now. who are celebrating. "mad money" with jim cramer starts right now. my mission is simple. to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it. "mad money" starts now. hey, i'm cramer! welcome to "mad money." welcome to cramerica. other people want to make friends, i'm just trying to make you a little money. my job is not just to entertain you, but to coach and teach you. so call me at 1-800-743-cnbc. i'm talking about events that seem so out of control, it's a wonder the stock market does anything, let alone rally, but