Banks have lagged the market for quite some time – with concerns about the fiscal cliff, Europe's financial crisis and China's economy dragging them down.
now appear to be breaking out of a range that have held them back for even longer than the transports," said Cramer.
"One look at the XLF, the exchange traded fund that includes the major financial institutions, shows you that this index is finally making a definitive move to the upside, one that is so necessary if we are going to see a legitimate and lasting recovery."
It's widely believed that the market couldn't make significant gains without the financial services sector and the price action suggests they may be ready to rally.
Cramer believes a deal on the fiscal cliff will be good for the economy. Pile on top of that the money that must be spent in the Northeast to repair damage from Super Storm Sandy – and Cramer thinks the economy will get a real jolt.
"It will produce a ton of jobs but it also will drive inflation," said Cramer.
"I think this move in
confirms that the chance for some sort of economic calamity stemming from going over the cliff is rapidly being put behind us," said Cramer.
What's the bottom line?
When you take all of these catalysts together, Cramer sees every reason for the market to rally – hard. "Let's just say we could have a very good 2013," concluded Cramer.