Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: The retail sector stayed hot today as shares of Guess? (NYSE: GES) jumped 10% after the company reported solid earnings.

So what: Revenue grew 17% to $613.9 million and earnings rose to $69.1 million, or $0.75 per share, both crushing analyst estimates. The company's guidance also topped expectations at $710 million to $730 million in revenue and $1.02 to $1.06 in earnings per share, pushing Credit Suisse to increase estimates through 2012.

Now what: After yesterday's buyout of J. Crew (NYSE: JCG), the retail sector is getting red-hot just in time for the holidays. I don't usually like to jump on a freight train while it's moving, but Guess?'s numbers were so far above expectations that I think this ride goes a bit further. With the buyout possibility hanging over the sector and now great earnings, there should be plenty of catalysts for a move higher.

Interested in more info on Guess? Add it to your watchlist.

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings, or follow his Motley Fool CAPS picks at TMFFlushDraw.

Motley Fool Options has recommended writing covered calls on Guess? The Fool owns shares of Guess? Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool has a disclosure policy.