As 2017 winds down and solidifies one of the best annual performances for the market and its major indexes in at least four years, one analyst on the Street highlights his three strong buys for the new year—two in tech, and one in energy.

Speaking on CNBC’s “Trading Nation,” Evercore ISI’s Rich Ross indicated that as the Dow continues to reach new milestones, there are three names that could propel the index even higher. His three “strong buys” for 2018 are “oldies but goodies”: tech giants Microsoft Corp. (MSFT) and Intel Corp. (INTC) along with energy play Chevron Corp. (CVX).

Tech and Its Flip Side

Pointing to Microsoft’s long-term chart, Ross spoke to a 17-year base breakout “that doesn’t come around very often” and highlighting the stock’s recent outperformance versus the S&P 500 after a sustained period of trailing the index. Earlier this month, Evercore analyst Kirk Materne made the bullish call that the Redmond, Wash.-based company could reach a $1 trillion valuation by 2020, driven by growth of its Azure cloud business and Office 365.

The Evercore analyst’s other pick for tech was Intel, the global semiconductor manufacturer based out of Santa Clara, Calif. Ross sees potential for another multi-year base breakout, “an impulsive move coming out of the pattern and into a textbook bullish flag continuation pattern,” he said, adding “we bought the dip now we are going to buy the rip in Intel.” (See also: Intel a Good Bet as Memory Loses Steam: Analyst.)

In the energy sector—the “flip side to the tech trade”—Ross highlights oil stock Chevron. The San Ramon, Calif.-based multinational corporation, one of the dogs of the Dow,” is up just 6.3% year-to-date (YTD) versus the S&P 500’s 19.9% increase over the same period. However, the analyst sees CVX set up for strong 2018, pointing to the stocks chart. “You can see this big base that’s formed over the last year, kind of your classic cup and handle and once again you have a textbook flag,” said Ross. He sees both crude oil testing $60 a barrel and “inflation in the air” as translating into higher prices for Chevron.

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