The risk-on trade is back, and one way to play it is Chinese equities, Dennis Gartman said Wednesday.
"I think it's abundant clear that the central banks everywhere around the world are force-feeding reserves into the system. They have been doing it for a period of time," he said. "I've been, as I've said, agnostic of U.S. stocks for quite some period of time, basically since the middle of February. But as I look around the world, is it a risk-on circumstance? Yes, it is back to being a risk-on circumstance."
On CNBC's "Fast Money," Gartman said that one way to play China was to buy ONN, "which is risk-on and is a compendium of stocks from around the world, currencies that work – the Aussie, the Canadian dollar – grains, crude oil, and at the same time, you're short the bond market."
ONN is the ticker symbol for the Gartman-Fisher Risk On exchange-traded fund, run by Gartman and Mark Fisher.
"If I could do it one way or the other, I'd buy Chinese equities and actually probably be short of crude oil for a while," he added. "They are probably the ultimate risk-on asset."
(Read More: China Credit Bubble Trouble: Jim Chanos)
Gartman acknowledged that Korea and Russia could offer better emerging market opportunities.
"But if you put the question to me, 'Would I or would I not buy Chinese stocks?' I would," he said.
Trader disclosure: On April 24, 2013, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders: Tim Seymour is long AAPL; Tim Seymour is long BAC; Tim Seymour is long SBUX; Tim Seymour is long YUM; Tim Seymour is short WLT; Steve Grasso is long AAPL; Steve Grasso is long ASTM; Steve Grasso is long BA; Steve Grasso is long BAC; Steve Grasso is long GDX; Steve Grasso is long LF; Steve Grasso is long LNG; Steve Grasso is long MHY; Steve Grasso is long MJNA; Steve Grasso is long PXD; Steve Grasso is long NVIV; Steve Grasso is long PFE; Steve Grasso is long S; Steve Grasso is funds long ZNGA; Steve Grasso is funds long AAPL; Steve Grasso is funds long NEM; Steve Grasso is funds long OXY; Karen Finerman is long AAPL; Karen Finerman is long BAC; Karen Finerman is long C; Karen Finerman is long JPM; Karen Finerman is long TGT; Karen Finerman is long GOOG; Karen Finerman is short SPY; Karen Finerman is short MDY Long Puts; Jon Najarian is short AAPL Puts; Jon Najarian is short GLD Puts; Jon Najarian is long XLF CALLS; Jon Najarian is long BA; Jon Najarian short BA Calls; Jon Najarian is short RHI; Jon Najarian is short ZNGA Puts; Jon Najarian is long ZNGA; Jon Najarian is long AMZN calls.
