alan knuckman. david: thanks, alan.on's" rereesed favorite stock pick for the year and picks can produce 15% total returns so what stocks should you get in on? >> we have andrew baron, "barron's" associate editor. what is the criteria for picking stocks? >> we try to find stocks where they think 15% upside and they have low price to earnings multiples. hopefully offer upside plus and. lori: what are the riskiest names you say? >> some riskiest names could be simon property group and and new american airlines. airlines are always risky stocks but we think the risk return is pretty good on the new american. david: by the way, s&p, we were looking at some favorite stocks here and we'll go through them in a second, s&p grew 25% this year, unbelievable growth year but your stock picks, bettered that, by how much? >> we bettered the market by 10 percentage points. david: how often do you do that? couldn't be every year? >> we've been doing it three years and this is by far the best performance. david: you got what, about 35%.

alan knuckman of trading advantage joins us now for chart talk. alan, hi there. > >hi there. good morning. > >what are you watching today? > >well, it's all about milestones. we've seen the s &p get up above 1800. we've seen the dow about 16 thousand and the nasdaq about 4 thousand. so i'm keeping my eyes on the nasdaq as i have been here lately because it's been surging up 10 percent here in the last month or so. that's the sector i wanna see and take advantage of. > >what in particular are you watching? > >i'm lookung at siena. siena is a stock that was trading at $28 in october and it's declined to 20 percent. and now it's basing out around the $22 level. $21 is the halfway point of the action for the year so you can really lean on that 21 level. from a reward to risk standpoint i think this is a good buy area. > >why did siena in particular catch your eye? what is it that they are doing that's gotten your attention? > >i'm not much of a fundamentalist. i'm more of a technical trader.it's about risk and reward and here at this level you can buy near the $22 level risk it t

joining us now is alan knuckman of trading advantage, one of our traders who noted it would be a big year for stocks. alan, what was behind the big move? > >it was just a great year. for those that didn't fight the market i made a contrarian call last december when everybody was really negative just from the fact that everybody was overloaded in one direction. the market obviously goes the other way a lot of times and it was a great big year for a lot of bull participants. > >you also made some calls on individual stocks, starting with facebook. this was a stock that was basically left for dead. people were not loving this stock but you liked it. > >i really liked it from a risk-reward standpoint. that's how you have to look at the market. you have to look at it---if you buy it what are you risking it to and what is the upside potential of that play? so facebook had been cut in half so there was limited risk on the downside. it wasn't going to go out of business in my estimation. we saw a big resurgence and also saw a similar thing in microsoft. everybody looked at it as dead money. 3

joining us now from cme group-- alan knuckman and james ramelli. topic one: baby taper - is the taper tantrum by bears over? alan: i really don't think it had any impact. it had a 6% impact earlier this summer when they first mentioned that silly word but now that it's come and gone, we were down 2% of the highs. i think we up and up more. james: i completely agree. on the annoucement we saw a huge short covering and the market held up pretty well the day following the annoucement. alan: it's just a little baby taper. it's nothing. james: right. what's the difference between 85 and 75? 10 billion dollars. i really don't think we're gonna see that much of an effect. alan: it's not tightening most importantly and they're not raising interest rates, maybe ever. angie: topic two: the new greek crisis - whole foods says sit will no longer sell chobani yogurt in its stores. chobani says that's okay, we're gonna be fine. was that a turnoff for investors. should people buy whole foods stock? james: i like whole foods at these levels. we saw it selloff very

here to lighten the mood and enlighten us-- from the floor of cme group alan knuckman and scott shellady. they are ready to go for traders unplugged. good morning and topic number one: bears snared? corporate profits are at all time highs, stocks are sustaining near record levels-- are the bears growling? alan: my friend here is a market atheist.i know he doesn't believe. but if you look at the pe ratio at 19 and a half versus the record in 2000 was 26. we still have a long ways to go and the profits tell the story whether you like it or not. scott: i think that you have to really separate the fact that does the qe justify where the stocks are today or does the fundamentals and the economy justify where the stocks are today. 5% of the people own 82% of the stocks alan, so this has left main street behind while wall street has gotten ahead. so there aren't any bears to be bearish of the market because they're all on wall street thinking it's going higher. it's just common sense. alan: 83% of people are bullish. when people like you finally turn bullish, that's going to be my concern. scot

time to kick it up a notch with traders unplugged- from the floor of cme group, alan knuckman and scott shellady. good morning guys. >>good morning. angie: topic number one: fat wallets - jpmorgan is talking about doing some virtual cash ala the bitcoin. so, what's the better deal here? buy jp morgan stock or put your money on your hard drive? alan: bitcoins i don't believe in. obviously i've been wrong. it's gone from 10 cents all the way up to $900. jp morgan has been trading between 57 and 50. looking for a target of 64. still 13% above where we are right now. making money, that's all they do. scott: i would have to say that i'm a big jamie dimon fan. i'd like to back him. i think that what he's done with that bank over the last 5 years is fantastic. alan: maybe the fed helped. but what about bitcoins? if you put 10 thousand dollars in bitcoin in 2008, it would be worth 90 million right now. scott: shoulda, woulda, coulda. i'm not gonna look back on those trades. we look forward. angie: topic number 2: phone home- stolen cell phones are big business for cartels. what would be your fa