Yesterday was what is known as a "follow through" day, as detailed in Investors Business Daily. The definition of a follow through day is a 1.7% or greater increase in a major index on greater volume than the previous day at least 4 days after a rally attempt. In this case, the NASDAQ made a low and recovered on the 15th, while the rest of the market followed the next day. This follow through day came rather late, which, according to William O'Neill, indicates only that the rally isn't likely to be powerful. As he says, these rallies fizzle out often, but sometimes are the real deal. So, for now, it makes sense to increase exposure until we undercut the mid-month lows.
In the Top 20, NATI is soaring today on the back of a good earnings report. SSYS, on the other hand, is very weak in front of its earnings report tomorrow (on high volume). I wanted to point out that ASF, which reports Friday, is strong on the back of two good reports from competitors.
In the Conservative Growth/Balanced, NATI too is helping out. There is a little profit-taking otherwise. All in all, not a bad day after yesterday's strength.