The current rally in the stock market is far from perfect. But investors that are flocking to what's working are doing fairly well.

Uncertainty is high, yet several key technical indicators are suggesting that money is coming back into the stock market, slowly and steadily, if not in spectacular fashion. In fact, the relatively low volume on the NYSE is masking the very positive market breadth on that exchange, as measured by the NYSE advance decline line (NYAD).

Even more positive is the fact that the number of stocks making new 52-week highs is expanding, an excellent signal of positive money growth. The S & P 500 (SPX) is holding above 1400, and is on the verge of breaking above its 200-day moving average.

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The Nasdaq 100 has been the place where most of the relative strength has been lately, as the index has remained above its 200-day line.

Hopefully last week's pause was enough to give the market a cleansing breath and energy for a lift.

Our S & P timing model is still on the long side and we still have several open positions in our growth stock list.

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