Chip transactions are indeed a huge signal - a chip transaction can’t be faked due to strong cryptography. Granted, the card can still be stolen, but it’s rare enough that most banks let it though.
I feel like if my card gets stolen and I don't notice before it gets to Japan and starts spending money, I have bigger issues.
Magstrip cards can be cloned very easily. You might still have your card, but maybe someone copied the data off it last week. The chip is a different story.
> a chip transaction can’t be faked due to strong cryptography.