Traveling is one of life's greatest joys—getting to know new places, cultures, and food never gets old.

I've been lucky to visit some incredible spots like the UK, the south of France, Chicago, San Diego, Madrid, Rome and my all-time favorite: New York City. As a 27-year-old Venezuelan, I feel that place is just electric.

But travel isn't just fun—it's also a hot theme in the market right now.

Travel stocks have been some of the biggest winners since the market bottomed this summer, showing how strong the consumer economy is.

These are the kinds of stocks that thrive when the economy and markets are doing well.

The Defiance Hotel, Airline, and Cruise ETF $CRUZ does a great job of illustrating the recent strength in this area.

The ETF has been ripping in a near-vertical line in recent months, breaking out of a massive base to fresh all-time highs.

Participation continues to expand across the board as more sectors and industries break out to new cycle highs.

The SPDR S&P Retail ETF $XRT is the latest example of this theme.

Here’s a look at XRT completing a textbook bearish-to-bullish reversal.

After spending nearly three years in the base-building process, buyers are finally taking control and kicking off a new uptrend.

This is the same bullish pattern we’ve seen so many times in this bull market. We’ve watched these formations take shape and resolve higher one after the next over the past few years. We don’t expect the retail index will be any different from those that came before it. 

The path of least resistance is now higher for XRT.

Retail stocks deserve a spot on our radar, and it’s time to identify the best opportunities in this space.

Alfonso

When I was a kid, I loved to play video games. I spent endless hours on Mario Bros, FIFA, and Call of Duty. Those games were my favorites!

Now, I see them in a whole new light—as an opportunity to profit in the market.

Gaming and eSports are a hot spot right now, and the stocks tied to it are embarking on new uptrends.

A great way to tap into this space is through the VanEck Video Gaming and eSports ETF $ESPO.

After over three years of absolutely no progress, ESPO is finally breaking out to new all-time highs.

Buyers are in full control and as long as we’re above the 2021 highs, gaming is a group that I want to lean on for long exposure.

When I dive into the holdings, I see a lot of great-looking setups that make this space even more attractive.

Let’s hit the charts.

First up is Electronic Arts Inc...

Happy Thanksgiving! A quick pause to say thanks—for the markets, the lessons, and the endless opportunities ahead. 

Let’s enjoy the holiday, recharge, and get back to the grind. 

Here’s today’s note!

Chinese equities are brewing something big.

With the most heated areas not breaking down, and instead, catching a bid, it's tough to imagine China will sit on the sidelines.

Just a month ago, Chinese stocks logged one of their...

Transportation stocks are finally catching a serious bid—providing a necessary ingredient to  support the current bull market rally.

If you go back and do the work, you’ll find it's tough for the stock market to sustain an uptrend without some rotation into underperforming areas.

Transports fit the bill perfectly as they've gone nowhere for four years. But now, the landscape has changed. 

Forgotten groups like transports are waking up and participating higher, adding fuel to the broader market.

The iShares US Transportation ETF $IYT is breaking out of a massive base to new all-time highs.

The path of least resistance is now higher for this key procyclical index.

Transports finally breaking out above the prior cycle highs gives bulls one of the key missing puzzle pieces they’ve been looking for.

This bull market is finally firing...

In this market, it’s becoming clear that some of the best opportunities are coming from the underdogs—those lagging groups finally starting to turn things around.

One name that stands out to me is Lovesac $LOVE.

The stock is setting up nicely, breaking out of a textbook inverted head-and-shoulders pattern.

The price didn’t just break out of the range—it also reclaimed the anchored VWAP from its all-time high in 2021. I love how these levels of interest coincide, adding conviction to this pattern resolution.

This kind of price action tells us buyers are stepping in and taking control of the primary trend for the first time in three years, suggesting the path of least resistance is now higher.

What makes this setup even juicier is the 29% short interest paired with a 14x days-to-cover ratio. This scenario bodes well for a short squeeze, fueling the rally and creating a tailwind for even higher prices in the future.

Energy stocks have been showing some strength over the past few weeks.

Looking at the large-cap Energy Sector ETF $XLE, the price has been coiling around a key shelf of former highs for the past two years.

And when you zoom out on the chart like I’ve done, you’ll notice this base has been forming for the past 16 years!

Buyers have tested this level multiple times, steadily absorbing the overhead supply at the current level.

This kind of action usually comes before a breakout, as bulls build up fuel for the next leg higher.

If XLE breaks out of this massive base, we’re all going to want a lot more energy exposure than we currently have.

As such, I’m getting ready for it and making a wish list of sector leaders.

I think it will happen soon. 100 marks the line in the sand.

Steve and I were discussing...

The big theme this week is textbook retests. We’re seeing this kind of price action across the board right now.

One that stands out is the large cap healthcare index. 

The healthcare sector is finding its footing after experiencing significant downside pressure in recent weeks.

Price is currently testing a critical level of former resistance marked by a shelf of prior cycle highs.

With so much price memory here, this area represents a logical level for XLV to catch a bid.

And so far it is. The bulls are digging in and flipping this old resistance zone into support.  

The line in the sand is $140. As long as XLV holds above this level, I’ll give the bulls the benefit of the doubt. This area offers a great place for a defined risk entry for a potential bounce.

I’m also watching how the smallest and most volatile stocks,...

One effective way to identify relative strength is by charting one asset class against another.

This approach helps us position ourselves strategically for the current market environment—and right now, it's all about crypto.

Bitcoin is breaking out of a multi-year base relative to the Dow Jones Industrial Average.

The ratio is piercing through the upper bounds of its base, suggesting that BTC is ready to reassert its former leadership.

If this breakout...

This afternoon on Chart Request Live, my friend Patrick and I reviewed some of the standout tickers from the chat.

One group of stocks that really stood out was Digital Payments.

These stocks are on fire, offering favorable setups left and right these days, to the point I would be ashamed not to share some with you.

Before diving into some individual names, here's the Amplify Digital Payments ETF $IPAY:

IPAY just completed a textbook rounding bottom formation and is embarking on a new uptrend.

Aside from bellwethers like PayPal or Block $SQ (which I wrote about last week), there are three stocks that catch my attention within this ETF.

Yesterday I talked about some areas that are struggling to hold onto their post-election gains. The list has grown following today's selloff.

One group that’s been unfazed by this week’s volatility is financials.

Today, let’s flip the script and focus on an industry showing serious resilience.

Banks have been one of the best-performing groups over the past week, positioning themselves as leaders in the current environment.

The S&P Banks ETF $KBE is on the verge of completing a textbook reversal pattern relative to the S&P 500.

The ratio is piercing through the upper ends of this base as we speak.

The 200-day moving average has been flat all year but is curling up, suggesting that the trend could be at the early stages of reversing.

A week after the election, stocks are now digesting some of their impressive gains. 

Some groups like banks, software, Ark funds, and even energy are holding up the best, while others struggle to hold onto those gains and are now giving it all back.

The SPDR S&P Metals & Mining ETF $XME is a great example of this second group that is losing steam.

XME tried to break out from a multi-year base the morning after the election, but was immediately rejected, and has since fallen back into its old...