retail got hit into black friday week. >> clearly the other big take away is tech, a pretty ugly looking finish. >> hard to know where it stops. it has been a bit of a herding out. >> great stuff. >> thank you. >> outstanding week. it's been fun. fast money starts now. >> fast money starts right now. live from the nasdaq looking at times square. let's get right to the major market selloff. the dow falling more than 500 points. the dow and s&p erasing their november gains. the nasdaq was a big loser down three percent. tech is in turmoil. check out the likes of facebook, amazon, netflix getting absolutely crushed. facebook on track for the worst month since may 2013.

apple and chips are getting slammed. nvidia is down ten percent this after reports of cutting production for the newest iphone models. the tech giant on track for the worst month since the financial crisis. how much worse can it get? >> how much worse can it get in terms of s&p i think four percent or five percent. you said what do you think 14% makes about sense. in terms of where it puts the s&p, it puts it at 2530. now i say this quickly, some of the market has changed like the feel of the market has definitely changed. it started with netflix that reported a pretty strong quarter. you saw a huge move to the upside. look what netflix has done. good news is being discounted. bad earnings reports are being throttled. that's an environment change. i think you can see 25, 30 to

the down side in the s&p 500. >> i think it has a lot to do with the fact that there is unusually positive sentiment and names that made up a disproportionate amount of the indexes they are in. also, the performance making up for the small group of mega cap tech names that you forget at one point this year netflix was up 50%, 60%. amazon was up 60% or so. it is still up 30%. i think investors said this might be as good as it gets and they headed for the door at the same time. that's why we have the market where we have so many names that are obviously in correction or what a lot of people call crash territory. it's not going to end. the way it closed in the second down day closing on the dead low two days in a row like that is bad news you do not want to try right now. >> seems like nobody is buying on the dips. before investors condition to go in and buy when it is down. we are not seeing that anymore.

>> dan talks bewhere the index isn't showing because maybe the difference is about to happen if you get the stocks continuing to sell off the way they are. i would go back to you should be watching rates. we are continuing to tell you that the market does not believe the economy is as strong. that could go to 50/50 if you consider the way the market is going, housing numbers this morning were terrible. >> it was right in front of all of this for morgan stanley talking about how he viewed the market itself. he talked about the idea that he thought tech would drag us down. now he seems to be a little less bearish but is still there. he is not saying it's not time

to just start buying. i think that is a concern. people got burned enough times trying to buy the dips. that is a real problem. i still think you look for quality. i think there are opportunities out there. something like an nvidia. when it was trading at 60 times everybody loved it at 200. 200 bucks. they do everything right. they have this and that, data centers. revenues dipped significantly. at some point, i'm not saying it is yet and. at 1:45 it is 18 times earnings. you can look at a name like that and say at 18 times maybe it is a -- >> it's interesting. thursday, by the way --

>> it shouldn't be. they should be doing their jobs. they happen to be watching right now. i encourage you to be prepared next time there is a storm. in the northeast we get these from time to time. that being said, i'm like -- >> you didn't go anywhere actually. you left your house and you went back to your house. >> that's an aside. the fact that they got it down as much as they have, my down side target was about 138. now you are within a whisper of that stock -- >> why has buy the dip not worked in 2018 i think a lot has to do with the facts that the fundamentals are changing. everyone was focussed on a couple of names getting to a trillion dollars. they are buying back stock in

the global economy. that is how we started the year. then we went down in the line. we spent most of the rest of the year getting back to the prior. we have seen some chigs in the armor of the stories. let's name them. amazon guided this quarter down. we will not know until january if they have to do it again. if so, that stock is going back to $1,000. apple had bad iphone guidance. if they don't achieve the units we are not going to know about the units, then it is going back down. that is the story. the fundamentals have kind of changed. the companies are very mature now and trading at peak levels, margins. >> what do you do in the market environment in which you had the slauder and then you have names like coca-cola. >> there is still a lot of money

to stay in the market. mcdonald's has been outperforming. these are companies that seem to be getting through either hiring or don't have big trade fears. you talk about what has changed fundamentally. what changed is the trade fears have affected the business. when apple tells you emerging markets are starting to strug e struggle, it is a big deal. i agree places to hide are fewer and farther between. i think stocks have removed an enormous amount off of the valuations. i think some big industrial names, their businesses are not over. they have been priced -- >> that was a thing that was talked about is the fact that in the last year you are down 18% from where they were a year ago. you are starting to see opportunities. maybe that means there are names that can start to outperform. how many years have we talked about coke or pepsi where they haven't had that performance some of the names have.

j&j has been very impressive on the down days. i think there are different elements of what some of those are offering that gives you the opportunity. >> could anyone on this desk say you should be hiding out >> you don't hide anywhere. >> that's the only reason why the stocks are performing. they are considered staples. look how mcdonald's and coke is acting. to me, i don't think it makes a lot of sense when the market is focussed on valuation of growth names and you want to buy sugar water stocks it makes no sense. >> that you would think about the valuation of the value stocks. some of them look a little stretched. >> unravel this. you mentioned farma. big cap has been trading well. it is a place to be. you talked about that for a long time. pfizer since president trump went after them in the spring i think when the stock was trading 37.5 has been a straight line to

the upside, moves we haven't seen in probably the last ten years. proctor & gamble, i don't know. i think people are racing to it for some perceived safety. at 20 times forward earnings, is that really where you want to be >> i don't think so. >> one name in the tech fallout, facebook. the stock continues to get nailed as an internal quote/unquote war dominate the headlines. julia boorstin has more. >> facebook losing nearly six percent after this weekend the wall street journal reported on mark zuckerburg adopting a more aggressive style saying with facebook at war he is changing his approach. today questions shift to how the issues will impact the user base and ad dollars. a sell rating on the stock and warning advertiser concerns about morality at facebook are real. we don't see immediate financial

impact but other risks to the business are elevated. facebook tells me that in the wake of last week's "new york times" expose a, we haven't seen any meaningful trends in advertisers pulling spend. facebook is still struggling with a range of challenges including stagnating user growth. they were flat between the second and third quarter while in europe daily users declined by a million. the stock has plummeted some 39% since the earnings report. there is a growing expectation of federal privacy regulation as well as the potential for anti-trust scrutiny. this all comes amid growing criticism of zuckerburg and ceo. that has brought the value of the holdings down by over $8 billion. as for whether we will see dramatic changes in the top of the company, that is entirely up to zuckerburg who controls the majority of voting shares. >> thank you.

julia boorstin in los angeles for us. if you thought facebook had an engagement problem which it does and you thought it was able to fix the problem, maybe the fix is harder to do if it has handcuffs on it in terms of regulation. >> and the amount of money and the growth in terms of paying people that are there for security reasons and everything else. this stock really started that move to the down side on the announcement of how much money they were going to have to start spending. >> down 40%. >> that was near or around the same time. we were going through the earnings report and we see these huge numbers about what they are going to have to spend to grow. we knew they were going to be spending. i don't think any of us thought it would be that kind of numbers. that is when the slide began to accelerate. >> i think they told us not only that they didn't know how to price the business, but that they didn't know the cost of security but they were not a community of sharing. the perception of facebook's business has changed so dramatically so the fix on facebook if it is a community of

sharing is just a few programmers do a couple of things around the edges. this is fundamental. they told you growth was slowing down. this is corporate governance. that is what it is. >> you have been all over it. it has been really a treat. >> it's an -- >> if you all agree on everything you just said about facebook, as an investor you would be crazy not to extrapolate to what google will have to deal with in 2019. it makes absolutely no sense to consider the fact that they will not have to take some similar steps. >> i disagree with that. i think some of the corporate governance issues at facebook are a lack of oversight and lack of visibility. it is a case where the guys weren't able to articulate the risks around the company. >> was there an investor other than you online in july, facebook was trading at $217

before that report who really thought that this was something that they would have to deal with in 2019 it was a sort of hit to earnings. at one point we are expected to be up 20%. >> you done? arguably, 35 was the stock trading at 16, 17, 18 times going into the number. the market was telling you. when you have mark bennyhoff making comments that is not an

encouraging thing. we are closer to that than we have been in a long time. >> the analyst community is so far offsides. >> look at the price target. so much needs to come down. they will come down after the next 20% move. sorry for the sarcasm. these guys are banging the table on the stock. now they are picking up on it. strange. >> coming up, the bears are coming for boeing as the stock inches away from bear market territory. could now be the best chance to buy this industrial giant? checkout l brands. something brewing in the retail space that might have you running for cover. it's not all bad news. guy says there is one energy

stock poised for a year end rally. he will tell you the name. live from times square in new york city, much more fast money right after this.

at&t provides edge-to-edge intelligence, covering virtually every part of your retail business. so that if your customer needs shoes, & he's got wide feet. & with edge-to-edge intelligence you've got near real time inventory updates. & he'll find the same shoes in your store that he found online he'll be one happy, very forgetful wide footed customer. at&t provides edge to edge intelligence. it can do so much for your business, the list goes on and on. that's the power of &. & if your customer also forgets socks! & you could send him a coupon for that item.

i am a techie dad.n. i believe the best technology should feel effortless. like magic. at comcast, it's my job to develop, apps and tools that simplify your experience. my name is mike, i'm in product development at comcast. we're working to make things simple, easy and awesome. welcome back to fast money.

boeing shares crashing. the stock sitting on the verge of a bear market. it is having its worse losing streak in four years. should you buy boeing? >> i think it was a final trade for me last week. the argument and the investment setup is the same as it was six months ago. i don't think their fundamentals have changed. i think about six percent could be affected by china directly. i think there is a series of long term that these guys have won. these guys continue to win. who are they competing against this is a duopoly. you are talking about $25 per share of free cash flow. that story is alive and well. i don't think it is affected at all. >> how about the max. >> i think that is the big

concern and part of what is pushing it down. they are throwing off like crazy. now with the pullback we have seen it is a lot more appetizing at 18 than the 20s. i think there is a lot of reasons to look at the name. when we start to see a turn this is a name i would be looking at. >> it goes back to what we were talking about before. there is going to be stocks that are thrown out with the bath water and painted with the same brush. >> you are saying only six percent of the order book is affected by china, that is a name that gets back to 300 is where you start picking at something like that. >> they reported their third quarter and guided significantly higher for the remainder of the year. their margins were 13.2%. if boeing was at all concerned they could have guided more in

line. to your point, i agree, they should be somewhat insulated. however, the market is selling first and asking questions later. there is a level where this gets very interesting. the longer this goes on and i happen to think the trade dispute war -- the longer it goes on the worse it gets. >> check out shares of square getting crushed. the stock is doing something it hasn't done since it went public. you're watching fast money. in the meantime, here is what else is coming up on fast. >> welcome to the jungle. >> that's how investors have been feeling and the chart master says he sees something that could mean it's about to get a lot worse than you think. he will explain. plus, guy is stepping up to the plate to tell us the one name he says will be a home run into year end. he'll give us the fast pitch. that and much more on fast money right after this break.

welcome back. shares of l brands sinking in the after hours session after reporting earnings. let's get to courtney reagan. >> the company cutting its annu annual dividend in half. the company says the new payout ratio is more consistent with its past and will use the $325 million to deleverage the balance sheet. we knew victoria's secret ceo resigned. l brands announced john nehoswill be the new president. l brands upping to adjusted 260 to 280. the street is at 264.

jamie catz didn't think the dividend cut would come. katz says margin is significant or the pricing landscape remains competitive. susan anderson says the cut was likely expected by a lot of investors given they get to turn the performance around. l brands is in the midst of figuring out their operational and financial turn around and investors need to digest the implics of management and financial change working to determine where revenues are going next and then from genredding saying she likes the new ceo change but it will take nine to 12 months for change to be made so expect negative margin pressure in the meantime. >> thank you. we have seen the biggest names in retail under pressure with only 36 days until christmas. >> stop. >> then you know what this week is.

>> it's hump day and then gobble, gobble. >> it's the best week of the entire holiday season. >> do you hate the terms >> i love the holidays. i don't like when people -- gobble, gobble. have a happy turkey day. it makes me crazy. >> this is a happy week, man. >> best week of the year. >> you are in l brands, right? >> i'm not. i had small position on it. just to be clear, i still like the company on the pullback. they went 45% off the lows in august. as pullback ten percent. i don't think victoria's secret is turned aroundover night but i think the core business is there. >> we have seen autos and housing get crushed. our next guest says retail could be the next space. >> there is a lot of stocks holding out as the market has been collapsing and big names. last week they got smoked from burlington to ross stores

between 7% and 20%. it is always the last man standing that gets it. the process is underway. i want to look at the sector first. at one point, look at the spread. this is the actual sector which has home depot and amazon versus equal weight. at one point there was 1,400 basis points of spread meaning the average stock was not performing but the sector looked great because home depot was doing well. the selling has gotten around to those names. while this has converged this is likely to go negative and i expect equal weight to get worse. a few charts and we can go on from there. this is a great etf. it is broad. it has everything from wall administer to amazon. costco, kroger. it has names like tiffany and ralph lauren. here is the chart. one thing that is inescapable is basically you have the double top formation.

here is also the issue. as this was performing, all of this ascent, it really was never making much progress this way. so is it making you money? or as a proposition, its opportunity costs that are hurting you. here is the more interesting thing. take a look at the relative line. the top is xrt. you can put anything in there versus the s&p. what we know is every single time that the xrt got up to this level it has failed and it failed again and again and again. this is literally what algorithms are all about. there is plenty more to go. it's not good. let's look at a few more. this is the sector itself, actual weight. it's hovering on the line. i'm going to make the bet that

we are going to ultimately break the line. the way to figure that out is not look at this but at the equal weight. if we equal weight it it has already happened meaning without the influence of a few large cap performers we have already broken trend. that's the bet for the sector overall. a stock pick or two and let's call it quits. here is best buy. i believe it has earnings coming up. it is on the line. it's on the line. it's on the line. it's on the line and then, of course, it fails. not good. it's likely coming for other stocks. totally switch it up. nike, same circumstance, same principle. a well defined uptrend, not because i say so. what it has done is broken trend. not a good setup. finally, if that is not head and shoulders top i don't know what is. not good. something is wrong. >> come on over, carter. >> that trade was unravelled so

that has caused the most recent move lowering in retail. i'm wondering, do the charts play out that way? what do the charts indicate about that trade going forward >> there is structural. we know that amazon has changed a lot of things and will probably keep changing. >> it's basically finding -- you guys were talking about this

before. money is hiding in a few namds. at some point they go after those. >> can you put your economist cap on do you think this selloff in retail, does it mean anything about the consumers? >> i would say it has to be. it's probably all peak. it's as good as it could get and the market is saying yes, maybe this is as good as it gets and you can't comp these numbers year over year and the valueuations don't support it. >> you put up a bunch of names. you did mention amazon. we know how home depot acted a couple of weeks ago. those are the mega cap ones. they acted horrendously. amazon did have bad news. does that not portend well >> the tape is heavy.

something is not right. >> thank you. >> i think carter makes a great point how the numbers on the retail side, retail totally outperformed the s&p from black friday, cyber monday. gobble-gobble. the bottom line is i think retail will have a great holiday season. >> do you think it is discounted will they dominate or do you think there is a broader picture than that? i like ross stores and tj max. i love target. i think because of their diversity that is a good name, as well. since that wal-mart number, target has been down. i think that creates opportunity. >> i think the demographic that has been most helped out by wage gains is absolutely the target and wal-mart shopper.

i think some parts are going to do very well. these are companies that have given you decent guidance. >> amazon did not. amazon guided revenues down five percent into their holiday strong quarter. all these companies, target, wal-mart are doing better in e-commerce. amazon was dominating. we are starting to see maybe it is just less profitable. everybody has to match. >> i think that is in the price. we assume the margins are going to zero. >> target has margins. wal-mart does not. >> these guys are tripping over each other. this is not profitable sales. >> we'll see. coming up, stocks seeing red as big tech dragged down the market. guy has one name he says could see a major year end rally. the stock sell off investors are worried the high yield market eauld be signaling more pain

ahd. how big of a threat is corporate debt we'll explain when fast money returns.

welcome to emirates mr. jones. just sit back, relax and let us entertain you... ...with over 3,500 channels of entertainment, including the latest movies and box sets from around the world. ( ♪ ) we even have live sports and news channels. ( ♪ ) and your free wi-fi will start shortly. enjoy your flight mr. jones. world's best inflight entertainment. fly emirates. fly better. welcome back to fast money. along with the s&p erasing all the gains for the month. tech and consumer discretionary stocks dragging down with only two sectors in the green. utilities ending the day as the best performing sector. despite the selloff, looking at one stock that could be poised

for a year end rally. he is there to break down the fast pitch. >> we are going to do a power pitch. i didn't have the mitt today. we are going to do the valero symbol vll. refiners have been grim deaf. valero after a high of 127 is trading $80. that is a significant selloff. i happen to think the selloff is significantly overdone. number two, crack spreads are not nearly as favorable as four or five months ago. they haven't totally collapsed yet either, not nearly as much as the stock would suggest. so to me the crack spread is still somewhat favorable. the last one, recent upgrade at credit suisse. they like it, as well. the stock has sold off on the back of that. i think at this level it is interesting. let's put up a chart please.

you will see as dan just told me, we are at levels that we last saw back in the fall of last year. so there is a very good chance around the $76 level where we basically are, this stock gets very tradeable. although energy has been under tremendous pressure, in my opinion, valuation, selloff overdone still somewhat favorable, valero makes sense. >> we can see how bad that line -- >> bad. >> do you have questions for guy? >> i'm actually kind of in favor. this is a tease to how i'm going to vote. you might have one vote. talk about crack spreads or the dynamic where the cheaper oil gets, the better it gets for refiners. >> it should. there is a season ality factor that should start to work for them.

i think people got so much gains in the refiners that i think they are taking money off the table and selling first and asking questions later. the environment is not nearly as favorable or as dire as this move suggests. although i think the selloff is somewhat justified, it's not justified down to this level of $80. >> real quick question. mark fisher was talking about he thinks oil has hit basically a bottom and there is more room to the upside. do you agree with that at all or not? >> the quick answer here because that is what only time has for. i'll say this. the move to the upside in nat gas is why i think we saw the significant move lower in crude. i think energy traders got themselves offsides and that is why you saw the selloff in crude oil. they had the trade on backwards. >> are you buying or selling the pitch on valero? >> i put guy as a winner. >> winner. >> is that guy >> that's guy.

>> i agree with guy. >> wow. >> thumbs up, buddy. >> i will disagree with guy because i don't know much about valero. i think we are in a market where you see the underlying commodity move the way it did and this stock move that way i don't know why you have to try to be a hero. >> two buys, one sell. he is really sad. go vote at cnbc fast money. we will reveal results later in the show. 78% so far say no. the bit coin horror show continues as the crypto crashed below 5,000. can anything stop the bleeding more fast money still ahead. do you want the same tools and seamless experience across web and tablet? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time

for power e*trade. the platform, price and service that gives you the edge you need. looks like we have a couple seconds left. let's do some card twirling twirling cards e*trade. the original place to invest online. about medicare and 65, ysupplemental insurance. medicare is great, but it doesn't cover everything - only about 80% of your part b medicare costs, which means you may have to pay for the rest. that's where medicare supplement insurance comes in: to help pay for some of what medicare doesn't. learn how an aarp medicare supplement insurance plan, insured by united healthcare insurance company might be the right choice for you. a free decision guide is a great place to start. call today to request yours. so what makes an aarp medicare supplement plan unique? well, these are the only medicare supplement plans endorsed by aarp and that's because they meet aarp's high standards of quality and service.

you're also getting the great features that any medicare supplement plan provides. for example, with any medicare supplement plan you may choose any doctor or hospital that accepts medicare patients. you can even visit a specialist. with this type of plan, there are no networks or referrals needed. also, a medicare supplement plan goes with you when you travel anywhere in the u.s. a free decision guide will provide a breakdown of aarp medicare supplement plans, and help you determine the plan that works best for your needs and budget. call today to request yours. let's recap. there are 3 key things you should keep in mind. one: if you're turning 65, you may be eligible for medicare - but it only covers about 80% of your medicare part b costs. a medicare supplement plan may help pay for some of the rest. two: this type of plan allows you to keep your doctor - as long as he or she accepts medicare patients. and three: these are the only medicare supplement plans

endorsed by aarp. learn more about why you should choose an aarp medicare supplement plan. call today for a free guide. corporate debt levels are rising and beginning to spook investors. michael santoli is live with more. >> hi. i think it is too soon to say a major crisis is ahead. you can understand why there is anxiety building up and the behavior of the corporate bond market. the level of corporate debt is a ratio to gdp. the previous peaks that you might see on the chart at about 45% of gdp pretty much coincide with peaks before recessions. now you have the possibility that the corporate market will become less generous. you have spreads going up and

investors have higher yields to take on the risk of lower investment grade debt. a lot of the anxiety surrounding ge and the possibility of those bonds being downgraded. i think you have to take a longer term perspective on where we are. if you look way back towards the year 2000 you can barely see the increase in spreads. it seems pretty premature to think it is something that the markets can't handle especially when you consider a tiny percentage of corporate debt is coming due. it is two to three years out that you have the reckoning, can they refinance and pay off the debt to me it is one head wind for valuations. it shows you stocks. stock holders are gravitating towards companies with less debt. it seems like one more pinch to margins and maybe widdling of winners and losers.

>> two more years away seems to coincide when most people are calling for a recession. they are saying 2020. that is not good timing. >> exactly. by the way, recession is when it really starts to hit. the cash flows right now without a recession seem sufficient to service this debt level. >> michael santoli at the smone york stock exchange. >> i was talking to a trader, his quote was it is getting mauled. the key is it is about the credits. there are corporates that borrowed a lot of debt. that number in terms of corporate debt to gdp, a lot of guys did it at zero rates and because of zero rates. i don't know that is as big of a burden. >> for more on this, let's bring in the founder of the bear traps report and cnbc contributor. we thought this would be the perfect time to play fact or fiction debt crisis style.

i will explain the rules in the straightforward game. larry will tell us if it is fact or fiction. we will play this game now. a corporate debt crisis is coming. is this fact or fiction? >> fact, but the fed could put it off for six months. we are in the throws of one now. >> why do you say we are in the throws of one right now? what does that portend >> you are starting to see for the first time in a long time deals get hung on the low level. leverage loans which that is typically the highest part of the capital structure, you shouldn't see field deals getti hung. that is reminiscent of 2007. the supply of loans and amount of deals is nowhere near that level. that is the first warning sign. the price discovery on investment grade bonds, that price discovery relative to loans is spectacular. in other words, we are seeing

real price discovery in investment grade bonds but the loans haven't marked down as much yet. that means you are probably in the first and second innings of a big problem. >> you said we are in the throws. in the throws of what? >> investment grade credit crisis. >> credit crisis. >> you are looking at real carnage especially like europe today. from a global perspective we are not at 2007 levels. we are in the throws of like the worst credit crisis since 2011. >> do you think this is liquidity? they are one in the same. i realize that italian bonds are blowing out and there are sovereign issues here and there. aaa credit is blowing up. >> blowing up globally. once again, the fed, what we saw in 2015 and 2016 promised us eight rate hikes. whenever we have seen this type of -- this is really the beast in the market trying to break

the fed over its knee. in the past, the fed has pushed that policy path a little bit off and that softened things. >> let's talk about the fed. the fed is to blame. is this fact or fiction? >> guy, don't answer the question. >> she is looking at larry. >> i don't like to look at guy when there is a guest on set. >> period. >> larry, fact or fiction? >> fact. ecb, bank of japan. you kept interest rates too low for too long. people reached into investment grade bonds. deals were done that shouldn't have been done. now we have a 25% move lower in oil in five weeks and all of a sudden it is real selling. are dividends safe >> they are in certain sectors, consumer staples. they are safe in the energy space. you are seeing real selling on equities because dividends are not safe.

this is spectacular. you have all this money in terms of passive asset management, a trillion bucks coming out of f.a.n.g.s. investment grade bonds on the triple beat. that is 2.5 trillion of triple. the high yield market as a whole is -- that is a massive krauzover. that means the dividends in the s&p because of that leverage are not as safe as they were in previous cycles. i think you could have a ten or 20% to 30% bounce from here in the staples as people really look for the safest dividends within the s&p. >> are the safe dividends -- when you look at technology does that count as safe dividend? they have virtually no debt and all of this cash. they are pretty safe, wouldn't you say? >> there are some dividend payers, those are pretty safe. but i think that if you look at

1999 to 200, that move, the rotation out of tech, you are talking about a trillion bucks that has to go somewhere. it will move it to value and staples. staples were up 30% in six months. >> thank you. i was talking to another cnbc contributor today. he was saying that 40% of russell 2000 debt is floating rate debt which means that the rates could -- they are going to float along with the markets. that is kind of a lot of exposure. >> look at iwm under performing. >> i would make one point. larry just said the fed will be responsible when we get to the next point. same thing happened in the late '90s. everybody could put their finger on what the thing was that was going to make our economy go into a recession and have the

s&p 500 drop. larry is putting his finger on it now. the problem is the eventuality in gauging that. nobody could figure it out. >> the fed kept the interest rates. >> he brought debt that was too expensive. >> too low for too long. the fed was able to get fed funds rate back to six percent in 2000. they can't get above two percent without causing a spasm in the market. >> we can go back down to 1.5. still ahead, payment stocks getting pommelled as the tech sector continues to rollover. we'll tell you what that is. let's check out our cramer cam. he is doing a dive on what it will take to get the market back on its feet. much more fast money right after this. this isn't just any moving day.

this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment windows. click, call or visit a store today. welcome back. bit coin getting a beat down another 300 bucks in the past hour. the crypto currency taking a turn for the worse now down more than 25% in the past week, now down more than 62% on the year. can anything save the crypto

currency >> my answer would be more pain ahead. i think this is a place people were using as speculation and now the money is going other places. it might be in the cannabis space but we are seeing that come down, as well. those are similar dollars, in my opinion. because of that, i don't think we will see the money in bit coin that everybody is looking for. i don't know how much further it goes. i think it goes much further from here. >> this is the first time bit coin has seen a bear market in the broader asset classes. we were talking about this all night, all last month. we have been below the 200 day. this doesn't trade despite what anybody says, there is no liquidity in this name. it is going to get worse. >> the most frustrating thing about the price over the last few months is one of the bull cases was the value. here we are, we have had this very volatile equity market here in the u.s. we have seen asia equity markets and a lot of other risk assets

very volatile in 2018. if you were pegging it to 6,000 for five months well it just broke so that is a little disappointing. >> year end price target lowered to 15,000 from 25,000. year end. >> speaking of payment space, shares of square getting slammed falling below the 200-day moving average. >> today it's intropical storming when you see the stock close on dead lows down 11% or so. it was essentially call volume that was 1.5 times the put. nine out of the most ten active were a lot of calls. what i think i saw that had a lot of people closing out of bets above the market and saying there is a low probability of those calls being in the money in the next few weeks. one trade was the second most active on the day. it looked like there was an

accumulation of the january 50 puts about 2,500 traded from about $1.60. it is interesting to get a sense for levels where there is interest in some put protection. here is a chart since the 2015 ipo. this thing was a moon shot straight up that topped out at about 100 bucks. look at that line. that is 50 bucks. that seems like a technical level. >> we are off this friday. that would be the day after gobble gobble day, two days after hump day. for options action be sure to check out the next full show next friday. up next, final trades. see that's funny, i thought you traded options. i'm not really a wall street guy. what's the hesitation? eh, it just feels too complicated, you know? well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you

through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade it's not what champions do. it's what champions don't do. they don't back down. they don't settle. and they don't quit... except for cable. cable? oh you can quit cable. because we are cougars and we don't quit!! unless what?!?!?! [team in unison] unless it's cable! quit cable and switch to directv and get the most live sports in4k more for your thing. that's our thing. 1-800-directv

for each job exxonmobil creates, many more are created in the community. because energy touches so many industries, it supports 10 million u.s. jobs. welcome back to fast -- 70% more than. >> it was horrible. >> it's a -- >> final trade. >> pay pal. i think this name is ready to bounce. >> coca-cola. i think you guys are complete ly wrong on this one.

they are breaking out. >> it's trading at 23 times and it just rallied ten percent. i would not buy it on tim's recommendation. >> >> see tomorrow "mad money" 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 save you money. my job isn't just to entertain but to teach you call me at 1-800-743-cnbc. or tweet me @jimcramer today the bulls got mauled they are in full retreat >> no,