The major averages continue to advance helped in part by the fall in oil (and gas) prices. Falling oil prices are the equivalent of a subsidy in the form of keeping more dollars in the wallets of consumers (and hence giving them more purchasing power) and lowering transportation costs. This is one big reason why the transports and airlines continue to advance and why retail and discretionary have both hit new highs.

As long as energy prices remain low, expect the above groups to continue advancing. Two of the most widely held Retail etfs (XRT, RTH) both notched new highs in concert with the Consumer Discretionary etf (XLY). The XRT broke out of a one week consolidation pattern while the RTH hasn't looked back from breaking out of a two month base over three weeks ago. Individual stand-outs in this group breaking out to new highs today are the following: Ross (ROST, $83.21), Macy's (M, $62.85), Nordstrom (JWN, $74.97), L Brands (LB, $80.08), Casey's General Stores (CASY, $85.55), Dollar Tree (DLTR, $65.87), Dollar General (DG, $66.55). None of these sport particularly high P/E's (the highest are LB & CASY at 25) and provided consumers do their part this holiday season, we could see further advancement in their share prices.

Indeed, it's looking more and more as if the retailers will be celebrating a greener than expected holiday sales season.