No its not, it was without question a penalty, unless its a clear as day end of play type foul. IE if he hacks him down and he can't go on the foul is given straight away. If its a tug, but he's still going on its called advantage being played, he continued to foul him into the box. The advantage was given and clearly he's still being fouled, he's still holding his arm just as they pass into the box and that is the foul that was given.
As for Torres, thats why I call him the worst cheat there is, firstly I've never ever seen anyone else go up and kick the penalty spot, or any other spot for that matter on purpose, one of the worse bits of serious cheating I've seen, it wasn't spur of the moment, it wasn't in anger(he was up the other end and came back to do it) it was nothing but cheating. He should have got a straight red.
Also notice how he actually seemed to be giving the defenders a slight handful before he got his yellow card, the few times the ball got to him. Its because he simply fouls, he rams into defenders, backs in, elbows, barges, its never a simple shoulder to shoulder with him. After his yellow he didn't even go in for the challenges, he walked away and prayed it would come down. He ONLY fouls when he goes in for a challenge and when he couldn't risk it he didn't even try to challenge after that. Filthy cheat who quite literally can't play fair and doesn't even bother.
ANyway, back to the penalty, you see that all over the pitch aswell when two players are running along and one is holding back, sometimes it happens for 20 yards or more and when the foul is finally given when the player with the advantage finally is stopped from going further the freekick is ALWAYS given at the point the player is actually stopped from going on, not where the holding back first started.