of hope on the investment banking side, but the core earnings for banks, net interest margin, the large institutions are still going to be down. >> got to leave it right there. thank you very much, everybody, for being here this afternoon. that wraps it up for us on "closing bell." time now for "fast money" with melissa lee and the gang. over to you. >> thank you, kelly. "fast money" starts right now. live from the nasdaq market site overlooking new york city's times square. steve grasso, john najarian, brian, guy adami. google has a way to make money on youtube traffic and how it could impact the bottom line coming up. and a plan for one alzheimer's drug that has an attorney general up in arms. we'll have the details on today's stock therapy. and the mighty greenback. the dollar and oil showing some strength today. we'll debate what that means for the markets. we start off with merger talks in the chips space.

intel, altera. what does the options market tell us? >> options markets say broad com and a host of others have activity, even before david faber came out with this that they haven't been in talks for over a week. but the options activity in broad com was very strong. strong in a number of these other -- and by the way, broad com is twice as big a deal as this one would be and then some. because it's 25 billion versus 12. and altera just got that jump when the news was broken. >> if you charted both of them, how you see the two of them just opposite moves on the day. and now right out of the blocks, out of david faber's report, you see altera drop down. and then people start to

speculate is activist going to come in? what price is activist going to turn in? they wanted $60 a share. so if an activist comes in, guys are floating around saying maybe it's a $55 number in the stock. which i am definitely in that camp. i think altera goes much higher here. >> faber said it was going to be in the low 50s. >> they have not been good. the last quarter was not great at all. declining margins. morgan stanley on march 30th, i believe, downgraded to stock. so can the stock go up from here if an activist gets involved? absolutely. but there's better places to be. you've got to get dan nathan. good looking guy. >> there's two dan nathans. >> the one you know. last night he talked about in qualcomm what he was seeing. and look at the move today. nobody's going to buy qualcomm,

but maybe something's going on there. >> you think intel needs a deal? >> no, actually. i don't think they need a deal. i would actually use this weakness we've had since the deal announcement as a way -- a place to buy intel. we talked about using 29 stop, it's a great place to get into. the other one i would look at is what gets mentioned in the same space. that chart looks like it's wants to break out. >> let's bring in executive director shaw for more on the activity chips space. great to have you with us. we were talking about how altera has traded. it has not gone near the potential takeout price. what does that tell you? >> you know, i think the deal is very much up in the air. i mean, when news broke from "the wall street journal," the stock was at $35 and then it jumped to $42, $43. then david faber said the deal's

off and it went even higher. clearly something's on the table. if it wasn't, i would think it would be 20% lower. >> when you look at these two parties, do either of those parties need a deal? >> yes and no. you know, i think intel, you know, they've been wed with altera for a number of years. they're going to manufacture for them, altera would boost their presence in the data center. the other challenge for intel is figuring out a way to diversify their pcs. >> how do they do that? do they need to buy something in order to do that? >> i think intel needs to do a deal. and if it's not altera, it's somebody else. we upgraded qualcomm about a week ago. we think they're a very attractive target. they're, you know, absurdedly cheap. bringing down the purchase price for whoever bought them. and, you know, we'll see what happens. >> since july, qualcomm has not

traded well. you have an $85 price target on it. it was seemingly headed down to $62 level. what are you seeing in qualcomm that make i don't ss you believ go that high? >> they are starting a buyback program. that number could get bigger. you've got that in front. there's also speculation that qualcomm needs to do a deal. the smartphone market is maturing. there's only a few companies that could ride a $15 billion check. intel is one. qualcomm is the other. >> so in the dreams of a semiconductor analyst, what are the two combinations you would hope for for invests that would be good for investors? >> i would like to see intel buy and i'd like to see qualcomm do a deal in the space as well. both companies are tied to pcs and smartphones which aren't really growing. they need to diversify their

revenues. >> qualcomm and, for instance -- >> qualcomm and a zilinx, for example. >> thank you for coming on. in terms of activity, did you see activity in zilinx? >> yes. broad com like i say for over a week now and probably much of that because of some of the comments that romit was making. >> let's get a news alert on ebay. let's get to josh lipton. >> some breaking news from dow jones on ebay and paypal. specifically ebay and paypal have set a five-year operating agreement. paypal agreement bars ebay from creating a payment system and paypal is barred from creating a marketplace. specifically dow jones saying ebay has agreed to ensure that 80% of gross merchandise sales on its online marketplace are rooted through paypal for the

next five years. for its part, paypal has agreed to pay ebay a commission of its sales on the marketplace rise above that mark. new details emerging about what the relationship between them will look like when they split up later this year. >> thanks so much. it seems like a one-way deal because -- i mean, what's the likelihood paypal will want a separate marketplace unit. >> what's going to happen is the two of them won't do either but amazon and alibaba will do both. so it doesn't really matter. it's obviously they're worried about each other. they should be worried about the rest of the field. >> let's hit the chart of the day here. both the dollar and crude up today. oil decoupling from other commodities closes positive after a move to the downside yesterday. what do you make of this move? >> i thought the dollar move was the most interesting. when you look at oil in light of how strong the dollar was, that to me said there's buyers out

there. perhaps we put in a bottom. i would still call the oil bottom here a correction within a larger down trend. but in the dollar, that one surprised me. because i thought for the next market or up to the june meeting we'd have some sideways to down movement. this move today, thankfully i wasn't short the dollar, but it's got me rethinking that. perhaps this dollar rally is starting to gain steam again. what that means for the rest of the market is you start to worry about dollar headwinds for the multinationals. >> bk is right about the dollar. i think it gains steam again. i think dollar/euro is headed to that. i think there's another leg down in crude. the move down today is after the numbers the other day. what's the trade? it's easy now on the refiners. >> it was a great day for the oil equities. >> and stands to the reason we've been talking about for awhile. these energy-specific guys think

energy can out-perform. even if the market moved si ed sideways, you've got massive selloffs. people got way too short. and now dollar rallies, oil rallies and those are testament to the guys caught short. >> and it's a really short-term trade. i agree about the refiners. they were down 9% as of tuesday of this week. just over the last sessions leading into tuesday. i think they turned right around. so they've been a buy. and i think you flip right back out of them if we have a dip in crude that makes them more attractive. you take your money and run. youtube's new plan to make money. will it scare away users. and a controversial plan for an alzheimer's drug. it's caught the new york attorney general's attention and the attention of the drug industry. we'll have the details in today's stock therapy. and apple watch preorders start tomorrow. we've got someone who says the

watch will be revolutionary. hear what he has to say coming up on "fast." about retirement. a 401(k) is the most sound way to go. let's talk asset allocation. sure. you seem knowledgeable, professional. would you trust me as your financial advisor? i would. i would indeed. well, let's be clear here. i'm actually a dj. [ dance music plays ] [laughs] no way! i have no financial experience at all. that really is you? if they're not a cfp pro, you just don't know. find a certified financial planner professional who's thoroughly vetted at letsmakeaplan.org. cfp -- work with the highest standard.

welcome back to "fast money." we've got a news alert here for those oil energy stock investors there. we know baker hughes says they will suspend effective immediately their quarterly publication of the u.s. onshore well count. that is not to be confused with the weekly rig count data that they put out or the monthly international rig count they put out. this baker hughes says is in response to the recent market downturn in the industry and internal initiatives to reduce costs. the company will instead divert resources to support the ongoing weekly north american and monthly international rig count data which continues on and will be reported again tomorrow. so, again, baker hughes eliminating one of its reports that maybe is not as widely followed in the popular business media so it can focus on getting all that rig count data out. important to note that. back over to you guys. >> thanks so much, dom chu. it's interesting the reasoning

behind it. save money. >> it's going to save a lot of man power there. >> can you imagine what kind of company this is going to be now? >> leaner, meaner. >> you got to wait until they report on april 21st. you've got to wait and see what they say. i think you're flipping a coin right now. it has bounced off a recent low, but i think in you wait to see what they say. >> what we're seeg in the future for the two of these companies with they're both up identically. they're broaching the year to date for valero. i think you make a bit of money there, still, but you're better off in the service. >> linkedin rallying after the companies that would acquire education site for $1.5 billion. this would be linkedin's biggest acquisition ever. >> this makes total sense. it's a one-stop shop. and people always -- we talked about this.

sort of counterintuitive. when the job market is terrible, you think this stock should do well. i think when the job market is great, people are more apt to get on because they want to switch jobs. that's a concept we're all familiar with. >> i like this deal. i was just out at that education conference in arizona. lynda was one of the companies out there last year. now here they are doing a billion and a half dollar deal. >> guy? >> i think you have to stay long the name. i've liked it for a long time. people shoot against it on valuatiover.n fore it is expensive but it's also the only game in town. it is a stand alone property that maybe someone gobbles up at some point but i don't think can be replicated. >> next up here, google. the tech titan planning to introduce a monthly subscription service to let people watch a

number of videos without an ad. they didn't say when it would be released but sources say it could be this year. could this move the needle here? >> it could. our producer said she would pay for this. what do i know? doesn't mean anything. >> well, the younger people do watch youtube a lot more than you. >> i don't watch the youtube. i watch the tv set. with that said, can it move the need needle? yes. listen. i think google is a cheap stock. you throw a 20 multiple on this thing, going to make $34 next year. i think they're reporting in a week and a half. stay long google. >> biggest knock on google has been that they spent too much money on things that don't earn them anything. here comes youtube. they figured out a way to monetize it. now what else are they going to do? that at least should support the stock. >> they had to figure it out.

have to see if anyone pays. >> right. and this premium model has been one that spotify, pandora, everybody goes after. that's why some questioned jay z for his offering where there is no free site of that offering. that's the streaming music service that jay z has invited all these music types to join him on. if he can make it work, great. curated music. >> but in terms of google you don't think they will because not many people may pay for it. >> no, you think the premium model is the one that still works. in other words, giving it away with the ad support and the folks that don't want that to pay up. those two sides, i think there's enough of both sides to make that work. but just going strictly pay, i don't think that dog hunts. >> got it. okay. coming up, the new york attorney general going after actavis claiming they are manipulating alzheimer's patients. how the traders are playing this space. that's next. and later, in case you've been living under a rock, preorders

for the apple watch begin in a few hours. find out when an analyst joins us straight ahead.

attention investors! vectorvest mobile is here and it's free! make faster, smarter, better trading decisions with vectorvest mobile. the most powerful app or managing your portfolio from the palm of your hand. only vectorvest mobile analyzes, ranks and graphs... ...over 16,000 stocks worldwide, everyday,... ...and gives you clear buy, sell, hold recommendations... ...on every stock; anytime, anywhere. vectorvest mobile comes free with your vectorvest trial. get it now! visit vectorvest.com/mobile to get started help northern china reduce its reliance on

coal fire heating plants and prevent 60 million tons of co2 emissions? when emerson takes up the challenge, it's never been done before simply becomes consider it solved. emerson. seaworld we'd like you to know. we don't collect killer whales from the wild. and haven't for 35 years. with the hightest standard of animal care in the world, our whales are healthy. they're thriving. i wouldn't work here if they weren't. and government research shows they live just as long as whales in the wild. caring for these whales, we have a great responsibility to get that right. and we take it very seriously. because we love them. and we know you love them too.

♪ you can't unsee that. >> i got to tell you something. tom jones, i don't know if you ever saw him. stud. >> yes. >> noted. moving on. time for some unusual activity. >> that was unusual. >> well, hopefully it's unusual. hopefully we won't see it again. >> avon. >> yes. what happened in this one today. about 25,000 puts changed hands in april. and they rolled out to the puts

that should cover them for the earnings that are around may 1st. buy the ones that are like i say in that earnings time frame, it's a bet on earnings and probably a bet earnings respect going to be good. 25,000 options is 2.5 million shares of stock. this stock is only 50 cents off the 52-week low. there's no reason it can't go lower. somebody big in nervous. i'm pointing it out to you as unusual activity. >> it is time now for stock therapy. one biotech giant is heading to court next week because it is trying to pull its alzheimer's drug from the market before the patent expires. actavis before a generic of the older version becomes available. let's bring in reporter meg tirrell with the details. i feel like this happens a lot when drugs go off patent and they go generic. >> it happens from time to time. it's all about life cycle

managements. you're trying to extend the time patients are staying on the more expensive brand and drug. they call this is hard switch. they also call it product hopping. essentially this all came to a head in september when the new york attorney general sued actavis saying this shouldn't be legal. and basically they got a federal judge to grand an injunction to stop actavis from pulling the older drug off the market. the old drug is called namenda-ir. now they have namenda-xr that is once a day. patients should switch to that anyway, they say. the patent runs out in july. so cheaper versions are going to come onto the market then. they think if they can switch patients over to the one a day version by then, it will be cheaper to switch back in july. actavis has appealed in injunction and that hearing is on monday. it has implications for other companies that might try this

strategy. he thinks that it's baked in that people think actavis is going to lose on monday. but if they win, it could be a $15 stock pop for actavis. >> wow. from the consumer standpoint, is it seen as being sort of deceitful for actavis to switch patients at this point? >> i've talked with some medical ethicists about this. they do think it isn't a good practice. especially when you talking about alzheimer's patients. they're old. they're potentially vulnerable. and you're basically trying to change their patterns in order for them to stay on your drug. so some people make that argument. of course actavis says the once a day pill is significantly better. >> i mean, the argument could be made that if you're an alzheimer's patient to remember to take -- for any patient to remember to take a drug once rather than twice is much better. and the results could be better. >> in particular if you have something affecting memory. >> exactly. >> that could be the argument that actavis would make, yes. but others are saying they shouldn't be able to pull this

old thing off the market. if they're already doing it and working with it. and it's going to potentially mean the difference in a copay for that patient if they're switching to a branded drug when they could have the generic copy coming in july. you might be paying a $10 copay for generic, $100 copay for branded drug. >> who was it -- wasn't it one of the bass brothers that talked about going after a lot of these companies for doing exactly what you're talking about right now? basically changing the meds to stay on -- right, to stay on patent? >> he's targeting what he thinks are vulnerable patents because they're obvious. where the patent protection shouldn't be granted at all, he says. should they be allowed to do this. the new york attorney general doesn't think so. >> thanks for coming by. meg tirrell with stock therapy this week. where are we going in biotech

stock? >> pete is much more active in this space than i am, but this is one i fall back on. i like it. it's still got support from all the big investors. they just seem to be doing almost everything right. amgen is another of course. >> biogen is the number one holding of ibb. with all the names that guy and everyone else on the desk talks about. but it's up 16% year to date. so instead of worrying about the single stock stories that are binary events. buy ibb, probably sleep better at night. >> look at xbi and ibb. xbi is the more speculative. to me i look at that and start to look, is the sentiment starts to shift again? because remember xbi led this most recent biotech route. so tomorrow over the next couple days, if you start to see that weakening, you might want to

lighten up a bit on your other biotech. >> people obviously saw what's going on in the world. people didn't like the name because of the name. but the stock has been a monster. traded up to 75. has trade back down no 60. i think it held 60 which is an important level. 64 now. i think you long isis. >> gap's same-store sales they did rise 2% in the month of march. that beat analyst estimates. it was led by its discount brand. the old navy stores. it surged 14% in terms of comparable store sales. gap stores, the flagship ones continue to struggle. comps there declined by 7% last month. that's flat with the same time last year. banana republic also showing weakness down 3%. so banana and gap negative for comps. the only bright spot was old navy. the bargain side of the spectrum. those shares lower in the

after-hours trade. >> thanks so much. guy adami, how do we trade gap? >> had trouble with 47 again recently. you wait for it to flush out which i think on the back end of this it may actually do. what ask a flushout in gap? i feel it might get to that level. >> we've seen a nice move out of lululemon and the yoga side of gap also doing well. and obviously at a much cheaper price. it brings in the folk who is can't afford the upgrades to the lulu. along with old navy of course. coming up next, jamie dimon warning that another major financial crisis is looming. saying it could start in the bond market. bk's got a trade you need to hear. and later the hong kong trade is on fire with the hang seng

diving. what's behind this record move ahead. it took tennis legend serena williams, fencing champion tim morehouse and the rockettes years to master their craft. but only moments to master paying bills at chase.com. depositing checks at the atm and transferring funds on the mobile app. technology designed for you. so you can easily master the way you bank.

still ahead on "fast money," live from the nasdaq in times square, hong kong stocks on fire again today. we'll tell you what's behind the move and give you the under the radar play to pay up.

and you can preview the apple watch. we've got someone who says it will be revolutionary. he'll explain coming up. and jpmorgan ceo jamie dimon says another crisis is looming. a trade school you cannot miss. in less than seven hours customers here in the united states will be able to preorder the highly anticipated apple watch but analysts seem to be split on how many watches they can sell during fiscal year 2015. credit suisse saying a high number of units. goldman sachs estimating 7.7 million. one of the lowest is oppenheimer with 6 million units. joining us now is oppenheimer analyst andrew irkwist. thanks for being here. >> thanks. >> i read the note. and i kept thinking to myself that you were drinking the apple kool-aid. i mean, you were saying things like it will revolutionize the

way we interact with objects around us. yet your shipment estimate is low. why? >> first of all, apple doesn't use the word smart at all when they describe this watch. i think that's the right description. it's not a smart watch. we view it as an interface that will be between -- beginning between people then between machines and everything around you. if you think how we're going to connect to devices, i think it's going to require a new paradigm on how we're typically interfaced. when we think about our phone, we think of it for minutes sometimes hours. with the watch it needs to be measured in seconds. i think the behavior needs to change. and if you look at history, you know, the apple phone, the apple ipod, the adoption rates are actually longer to get used to the device. i think we'll see something similar. those devices revolutionized the way we thought about those devices. i think the watch will do the same thing. >> it's interesting but not a needle mover. long-term, this is a category

that will actually have some legs. i'm just wondering what is the key driver here. because it's obviously -- the users are going to be a subset of the newest users of the iphone. >> i think it's more -- i think that's definitely part of it. but we need new applications for how we use the watch. if you think about the original iphone, again, less than 10 million units in the first year. it took a good three, four, five years to get hundreds of thousands of apps to get people to understand you can do a lot more with that phone than just text, e-mail, and so forth. >> if i had to ask you what's the downside of this watch right now just on functionality, we were talk before we came on about it not being water proof. is there ever going to be a spot where this is a stand alone object or stand alone item that apple has? or is it always going to have to carry around your phone with it? always a dual usage? >> i think in the next couple generations it will be you have to have your phone. that's okay. the computing power is coming from your phone. i think there are symptom

features that the watch needs to get before it gets a broader -- a far broader adoption. it needs to have some of the features people look for. in general watches is missing some of that. they'll get there. they have to wait for consumers to get used to adopting a new device. >> you're skeptical near term. when is the sweet spot? when do you see the app picture going up, the price coming down, you know, in that matrix? >> you know, i think it's going to be tough to call. the ipod in your four did 8 million units. in year five jumped up to 20. same with the phone. our best guess on this is between years three and four is where we could really start to see a ramp. i think apple might start to introduce a broader product category similar to what they did with the ipod. different price points. to get people to understand the different use cases and so forth. >> so year three or four. >> i think so. >> all right. >> but one quick thing though.

even if you look at what the estimates are. the average is 8 million. that would still put it as a more successful year than the ipod and the phone in year one. >> thank you, andrew. what do you think? zblil tell you what. you can't bet against apple on new products. so you have to -- they've earned the benefit of the doubt on these new products. so, you know, i would not buy apple stock because you think they're going to blow out the numbers on the watch. you buy apple stock because you think the back half of the year is going to see conversions to the new iphone. this is the reason to get into apple. >> that and the fact if you look at the way the stock is traded. traded up to 120. pulled back to 110. pulled back to levels we're seeing now. i think we have the same. it's the same formation. it's getting ready for the next leg higher. you stay long against the recent

low which was 123.5 or so. >> when google glass came out, you ran out and got one. are you going to go online and preorder? >> not at all. >> why? >> because it's tethered to the phone in my pocket. because it's not water proof. because of what "the new york times" said about the steep learning curve of getting used to it. the original digital watches were just like that as well. steep learning curve, a lot of hits to various buttons to make it do what you wanted it to do. i think the dial on the side is a very elegant way of zooming in and zooming out to the apps you've got on the phone. but for the short-term, i think that this is an impediment to them that they will overcome with versions two and three. and so to andrew's point, that's what i'll wait for. >> jpmorgan's ceo jamie dimon issuing a warning. writing some things never change. there will be another crisis and its impact will be felt by the financial markets.

says this zschau could have an impact on the long-term such as apple. how is that connected? >> i know. let's explain what's going on. what jamie dimon is talking about. first of all, we know that crisises are just part of the markets. they ebb and flow just like bull markets do. what happened since 2008 because of the new regulations, broker dealers no longer have the balance sheets they used to. we have seen corporate debt explode. we've shown this chart before where you see dealer balance sheets which is the orange line there. coming off high corporate debt skyrocketing. there's no market makers out there. people won't buy these corporate bonds. so if you have a crisis and people want to get out of this, you're going to have a disorderly selloff in the bond market which will raise rates and will cause companies like apple and i'm not singling them out, any company who has been

using this money for buybacks to stop being able to do that. whether it's because it's too costly. whether it's because nobody wants to buy them because there is no liquidity. but that's the link we're talking about. that's the mechanism that gets it from the bond market to the stock market. >> you would think that buybacks cannot happen any more then obviously we remove from the stock market. but if this happens, won't that simultaneously happen with a drop in stock prices because there's a panic. >> absolutely. i mean, i think that's exactly what will happen. that's why i've been watching hyg as a leading indicator of the markets. you watch that and start to see that fall apart. then you have to get worried about spy. spy is a better short trade in terms of options. if you want to put options s.p.y. is better than hyg. >> is jamie dimon being a chicken little when he's saying there's going to be a crisis. >> no he's being realistic. i think he's setting expectations the proper way.

you know it's the tragedy that you've planned for never repeats itself again. it's what you don't see coming down. but i would look at the wealth management stocks. look at e-trade. it's up 17% year to date. things like that. they've definitely outperformed the group. time now for pops and drops. big movers of the day. pop for walgreens boots alliance. up 6%. >> they blew out earnings. and so this alliance is already working out very well for walgreens and what they bought over in the uk, boots. double normal volume today. traded almost 11 million shares. new all-time high. blew through it by $3. >> pop for general electric. up 3%. >> mary thompson reported it. >> she did. during "power lunch" when i was on. >> is that right? you know what? now it's time for jeff. he's got to prove himself. they have a report on april 17th. >> drop alcoa down 3%.

>> bad earnings on this. it was a couple months ago when it was trading at 17. we talked about how it could drop to 12. didn't get quite to 12, but got to 13. i think against the lows of this week you're probably all right dipping your toe in. >> big drop for zynga. i'm not really interested in this one. if you look at the short interest, you want to see a high short interest. only about 9%. there's not a lot of guys that are torqued ready to buy any type of good news. and the stock is not even oversold. >> and we've got to pop here for brain freeze. 7-eleven announcing a new special saying bring your cup. they will let people bring their own container. patrons can use plastic hats, teapots to slurp down their flavor. but there is one caveat. the container must fit in the 10 inch hold display. which means inflatable pools are not allowed.

>> they shouldn't have any of that stuff. that's pure sugar. i mean, that is killing the youth of america right now. >> moderation. >> everything in moderation. >> when you're talking about bringing a plastic bag to fill up a slurpee. >> but don't have a bucket of sugar either. just a little bit. >> g-swizzle does not advocate. coming up next, hong kong rally today. shanghai's index fell. what's behind the divergence? why big money is flowing into hong kong. and later, some traders say ford is on the verge of a double digit drop. we'll bring you that trade after the break. by leading the way on tax cuts. we cut the rates on personal income taxes. we enacted the lowest corporate tax rate since 1968. we eliminated the income tax on manufacturers altogether. with startup-ny, qualified businesses that start, expand or relocate to new york state pay no taxes for 10 years.

all to grow our economy and create jobs. see how new york can give your business the opportunity to grow at ny.gov/business

tdd# 1-800-345-2550 even on the go. tdd# 1-800-345-2550 open a schwab account, and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 so if you get a trade idea, schwab can help you take it on. tdd# 1-800-345-2550 we're getting a lot of questions tdd# 1-800-345-2550 about organic food stocks. tdd# 1-800-345-2550 [ male announcer ] sharpen your instincts tdd# 1-800-345-2550 with in-depth analysis by schwab experts. tdd# 1-800-345-2550 and if you want to run your idea tdd# 1-800-345-2550 by a schwab trading specialist, tdd# 1-800-345-2550 our expertise is just a tap away. tdd# 1-800-345-2550 what's on your mind, lisa? tdd# 1-800-345-2550 i'd like to talk about a trade idea. tdd# 1-800-345-2550 let's hear it. tdd# 1-800-345-2550 [ male announcer ] see how schwab can help tdd# 1-800-345-2550 light a way forward. tdd# 1-800-345-2550 so you can make your move, wherever you are, tdd# 1-800-345-2550 and start working on your next big idea. tdd# 1-800-345-2550 ♪ tdd# 1-800-345-2550 open a schwab account and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 call 1-877-670-3357.

tdd# 1-800-345-2550 or visit schwab.com/trading. tdd# 1-800-345-2550 schwab trading services. tdd# 1-800-345-2550 your go-to for trading know-how. tdd# 1-800-345-2550 ♪ another big move in hong kong today. sending the hang seng to a seven-year high. the shanghai fell by nearly 1%. what's behind this divergence? here's a quick trade school. it has to do with the systems set up in 2014 for trading companies listed in hong kong and vice versa. hong listed shares are called h-shares. shanghai are called a-shares.

that cap was hit for the first time ever yesterday and again today. as mainland shanghai composite skyrocketing, the hang seng has lagged. now it's played catch-up. now allowing mutual funds to buy shares. several etfs track the performance of hong kong listed h-shares including the fxi which is composed of large gap companies that trade on the exchange. on the other side, dooueutsche k tracks the hrsr. the moves in the etfs today highlight the divergence of the two. the ashr down 2%. so this is an example of you've got to know what you own here. because there's a huge difference. people are saying there's still a disconnect in valuation. >> no doubt there's a disconnect. we talked specifically about the

fxi last night. said probably going to break through the $50 level which has been resistant for forever. it did that today. how do you trade it? i think you stay long. it's been in this range now for the last four years. breaking through that range, you stay long fxi now against $50. very well defined stop. >> what you've also got is huge volume. of course you're not just sighing this on no volume. this is record volume for the hong kong exchange. which you would expect because this is the first time many of the folks including us would have access to it. one thing i don't know is the ability to short or not. whether or not this is a one-way street. in other words, in many markets you cannot short if this is one of those then all the more reason for why guy is going to be right. that this really just has one direction to go. >> are there options on the fxi, i'm just curious. >> there are. the volume is up and the volatility is up slightly. not as much as you'd think given

this mass move in volumes on the exchange though. >> what's interesting, though, also today you had the european stock market make a new all-time high as well. we talked about that outperformance over the s&p. does that continue? and the european stock market can move 10% higher from here on top of the move it's already had if markets still corporate. >> all right. sticking here with hong kong, bk has spotted an under the radar way to play this latest rally. he's made his way to explain this. >> what you need to know is the hong kong dollar. the hong kong dollar is pegged to the u.s. dollar. meaning it will move with the u.s. dollar. you saw that a couple different times. this is the u.s. dplollar versu the hong kong dollar. strengthen the hong kong dollar, this line is moving down. that's the big recent run in the dollar that we've had. that has actually pushed the hong dong dollar stronger as well. so what does that mean for hong

kong stocks and everybody else? here's this peg level. about 775. they will not let it go above that level. however, if there's enough pressure which the preconditions are there to have that pressure, you have the fed normalizing rates which is putting pressure on the dollar which is going to put pressure up on the hong kong dollar. and not only that, to buy all these hong kong stocks, what do you need? hong kong dollars. there's a lot of investment flows going in them. this is the type of thing where the pressure builds up. remember what happened to the swiss national bank. it just broke. some people bet you can have this break. how do you trade it? really the easiest way for a retail investor with a u.s. account to trade it is via ewh. those stocks are priced in hong kong dollars. bit of caution. obviously ewh just had a big run. you don't need to go out tomorrow and buy pipt but if you get that, if you get a break, ewh is going to break higher as well.

>> remember a few years ago bill ackman was going for the u.s. dollar to the hong kong dollar. can that be accessed by a retailer investor? >> no. those are over the counter options in the foreign exchange area. if you have a foreign exchange account, you can trade hong kong dollars and use leverage to get a bang for your buck here. it's a safer trade in a sense. leverage always adds an element of risk. but really the best way to do it is just buy the ewh or options on the ewh. >> all right. thanks for that. coming up next on "fast," ford outperforming the market this year but some saying it could stall the end of the month. details on that trade next.

shares of ford have been beating the market so far this year but some traders are betting the stock will stall soon. mike khouw is here with the action. mike? >> so it was interesting today. we saw three times as many puts ade calls. and most of that anomaly was accounted for by one large single trade. somebody reached out to the may 14 puts and paid 6 cents for 18,000 of those. now, the interesting thing about this is it's going to capture

earnings which ford reports on the 28th of april. one other interesting thing, though, is we have just shy of 20 days until they report earnings. there's another 15 days after it until options expiration. and over the last ten years it might interest viewers to know ford has moved more than 14% during that time frame. and the last time it moves that violently to the downside was three years ago when the stock was down 19% over that period of time. >> who likes ford? steve grasso. >> it's always ford. i've owned both stocks over the years. i've owned both products over the years. i always prefer ford. i feel like ford's the better chart for me. i feel it's more reliable. and even though they're roughly the same year to date performance, i'm still in the single letter camp. >> our thanks to mike khouw of course. we'll see him tomorrow on our live show here on cnbc. let's get some of your tweets

today. sirrus logic. buy or sell before earnings on april 20th? >> it's a tough one. this one's up 40% year to date. unfortunately i don't have it in the portfolio already. wish i did. i would tend to shy away from it even with all the buzz about semiconductors and so forth. i think a 41% jump means a lot is already priced in here. >> scottish poacher. >> i knew it was scottish something. >> guy, would you rather -- >> my favorite game. >> regeneron or amgen? >> this stock trades 30 times forward earnings. the stock has been unbelievable. it's not a knock on regeneron. it's just amgen is more attractive on valuation. come up on "mad money" tonight, cramer has got an exclusive with the ceo of ventas. jim's take on why solar stock has a bright future. and a new addition to his wall

of shame. more on "mad money." up next we have your first move tomorrow. 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

let me talk to you about retirement. a 401(k) is the most sound way to go. let's talk asset allocation. sure. you seem knowledgeable, professional. would you trust me as your financial advisor? i would. i would indeed. well, let's be clear here. i'm actually a dj. [ dance music plays ] [laughs] no way! i have no financial experience at all. that really is you?

if they're not a cfp pro, you just don't know. find a certified financial planner professional who's thoroughly vetted at letsmakeaplan.org. cfp -- work with the highest standard. mileageplus® explorer card. we're saving our united miles... ...for a trip to hawaii. we love free checked bags. i've saved $75 in checked bag fees. no foreign transaction fees means real savings. we can go to any country and spend money the way we would in the u.s. one of the best things about priority boarding is you can just get on the plane and relax. i put everything on the explorer card. i really want my united miles.

we get to the final trade thing. >> wow. interruption here. yes. >> you know, we have some very talented people. we're not that talented, but the other side of the cameras are. and nancy, her birthday. >> yea! >> it's a monumental birthday. her last birthday as a single woman. getting married in october. >> any advice? >> none. don't listen to me. >> happy birthday, nancy. time now for the final trades. go around the horn. steve grasso. >> altera. >> dr. j. >> xpo. someone bought calls in the last minutes of trading. that's good enough for me. >> bk. >> i teased the periscope thing. but you buy one position in uup, that's your long dollar trade. and before i go, happy birthday, nancy. >> guy. >> everybody hearts nancy. >> of course. >> we talked about this last

night. fxi. breaking out. it's happening. it's breaking out. fxi. >> i'm melissa lee. thanks for watching. see you tomorrow for more "fast money." "mad money" starts right now.>> make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. 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 trying to make you a little money. my job is not just to entertain but to teach you. call me at 1-800-743-cnbc. or tweet me @jim cramer. sometimes the correlations go out the window. dow gained 56 points, nasdaq