#PreMarket Prep Recap - Watch Out For The Fade

Michael Kors KORS reported Q4 EPS of $0.78 versus $0.68 estimate on revenues of $917.50 million versus the estimated $826.05 million.

Joel Elconin and Dennis Dick were joined early on by StockTwits' John Melloy on Benzinga's #PreMarket Prep to discuss the high-end retailer.

Kors traded down to $89.81 -- and as high as $103.45 -- in the pre-market from Tuesday's close of $95.74. $100 may be a profit level that will form some resistance, as sellers show up to realize gains.

The company said in Wednesday morning's call that it can achieve sales of $1 billion in Europe over the next several years, along with a newly-refined focus on the expansion of its jewelry and watch business.

Toll Brothers' TOL strong beat reported Wednesday morning with $0.35 versus $0.26 estimated on revenues of $860.40 million above the streets estimates of $829.70 drove the stock up.

Wednesday has the potential to be a day of strength. Many on the street may have trouble fading this move, given the Toll Brothers report quality. Any broad underlying strength in the sector is limited, however, as the market remains depressed by means of quality.

Workday WDAY reported a better Q1 than expected with a loss of $0.13, a share against analyst estimates of -$0.15. Revenues were $159 million against $152 million. Increased guidance, along with a great report, pushed the stock up in the pre-market.

Revisions for 2014 Full Year and 2015 Full Year have been lowered and the stock is still trading off the highs it enjoyed in late February. That was around the time when CEO Aneel Bhusri and CFO Mark Peek spoke with Jim Cramer on Mad Money at the peak of the company's February run up.

Listen to the show and be sure to catch Wednesday's interviews with Josh Brown, Herb Greenberg, Rahul Saragoi and John Melloy: