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The major indexes haven’t done much since the market’s opening-day jump this year, but the vast majority of stocks and sectors are in firm uptrends. In fact, probably our biggest takeaway of the past couple of weeks is that the sellers look spent—most shakeouts or downdrafts are met with buying within hours or a couple of days, and so far, any pullbacks have come on far lighter trade than their prior advances. Of course, earnings season is getting underway, and that’s sure to add volatility to the mix, but the evidence is bullish and thus you should continue to hold most of your best performers, while looking to add exposure on normal pullbacks.

This week’s list has a bunch of great-looking charts from a variety of industries; many of them have shown excellent buying volume of late, which bodes well. Our favorite is Transocean (RIG), a powerful turnaround situation that is getting going after a rough couple of years. We’re now seeing institutional investors pile back in.

Stock Name	Price	Buy Range	Loss Limit
Urban Outfitters (URBN)	0.00	40-42	-
Trinity Industries (TRN)	0.00	35-36.5	-
Seagate Technology (STX)	0.00	31-33	-
Transocean Ltd. (RIG)	0.00	51-54	-
NXP Semiconductors (NXPI)	0.00	26-28	-
Nationstar Mortgage (NSM)	0.00	35.5-37.5	-
Goldman Sachs Group, Inc. (GS)	0.00	129-135	-
Facebook, Inc. (FB)	0.00	29.5-31	-
Celgene (CELG)	0.00	92-95	-
Chicago Bridge & Iron (CBI)	0.00	45-47	-

Last week was a quiet one for the major indexes, but many individual stocks had big moves ... mostly on the upside. We don’t have much to add from our last few commentaries—our Market Monitor remains bullish, and most stocks and sectors are in good shape, so you should be thinking positively and sticking to the bullish game plan. That said, be sure to keep your feet on the ground and be prepared for a pickup in volatility; we’re not predicting anything, but it’s been three months since the market low and seven weeks of nearly straight-up action, so it only makes sense to be prepared for some hiccups sooner or later.

One very hopeful event of the past two weeks is that many growth stocks, which had been lagging the market, are beginning to perk up. Our favorite this week is NXP Semiconductors (NXPI), a good-sized chip stock with a few irons in the fire and a stock that recently lifted off from a huge base. Try to buy on weakness.

Stock Name	Price	Buy Range	Loss Limit
Qihoo 360 (QIHU)	0.00	31-32.5	-
Oasis Petroleum (OAS)	12.57	36-38	-
NXP Semiconductors (NXPI)	0.00	30.5-32	-
Nationstar Mortgage (NSM)	0.00	38-40.5	-
Medicines Company (MDCO)	56.98	29-30.5	-
Masco (MAS)	0.00	18.5-19.5	-
Lazard (LAZ)	0.00	35-38	-
Michael Kors Holdings Limited (KORS)	73.22	61-64	-
Hertz Global Holdings, Inc. (HTZ)	0.00	18-19.5	-
First Solar (FSLR)	83.74	32-34	-

It’s not uncommon for nascent market rallies to feature a lot of crosscurrents, and we’re seeing just that during the past few weeks—the action has been generally constructive, but the environment remains news-driven with lots of rotation among stocks and sectors on a day-to-day basis. That said, because of the resilience of the major indexes and the strength (or set-ups) seen from leading stocks, we think you should continue to “lean bullish,” which means doing some buying as opportunities arise, but not pushing the accelerator to the floor. If this rally is the real deal, we expect more and more stocks from a variety of sectors to begin lifting off from multi-week launching pads. It’s something to watch for.

This week’s list is another mixed bag, with many turnaround situations and a few true growth plays. Our favorite of the week is Trimble Navigation (TRMB), an under-the-radar story with solid growth and a powerful stock.

Stock Name	Price	Buy Range	Loss Limit
Trimble Navigation (TRMB)	0.00	55-59	-
PVH Corp. (PVH)	0.00	105-110	-
Melco Crown (MPEL)	0.00	14.5-16	-
Gulfport Energy (GPOR)	0.00	36.5-38	-
Eastman Chemical (EMN)	0.00	61-64	-
Computer Sciences (CSC)	0.00	37.5-39	-
Salesforce.com (CRM)	0.00	162-169	-
Cree, Inc. (CREE)	67.96	32-33	-
Abercrombie & Fitch (ANF)	15.37	43-45	-
Aecom Technology (ACM)	0.00	22.5-23.5	-

When we moved our Market Monitor into bullish territory back on December 10 we had no idea how much strength would develop in the market. It’s been a great run! Today many stocks finally hit a bit of resistance as profit taking showed up; in the short-term, it’s possible the long-awaited pullback could be starting. But, while potholes will come, the evidence doesn’t point to a major correction; most stocks and sectors have just leapt out of 12- to 24-month bases with great power, and many measures of the broad market confirm the underlying strength. Bottom line: while you shouldn’t throw your money into stocks willy-nilly or ignore your sell rules, you should remain bullish and give your best performers a chase to continue higher.
This week’s list reflects the encouraging earnings season thus far; many stocks on the list have recently shot ahead after bullish results and outlooks. Our favorite of the week is Cree Inc. (CREE), the best way to play the growth in LED lighting. Its turnaround plan is working and the stock looks like a new leader.

Stock Name	Price	Buy Range	Loss Limit
Tesla, Inc. (TSLA)	818.87	35.5-37.5	-
Terex (TEX)	0.00	30-32	-
RockTenn (RKT)	0.00	75-78	-
Oshkosh (OSK)	95.04	38-40	-
Netflix, Inc. (NFLX)	423.92	155-165	-
Mohawk Industries (MHK)	0.00	98-102	-
Kansas City Southern (KSU)	176.54	90-93.5	-
Delta Air Lines (DAL)	54.28	13-14	-
Credit Suisse (CS)	0.00	27-29	-
Cree, Inc. (CREE)	67.96	39.5-42	-

After a very healthy advance from the mid-November lows, we’re starting to see a little distribution creep into the market; the indexes are chopping around a bit, some stocks have gotten hit on earnings and growth stocks in general have been lagging—not poor performance, but not superb, either. Now, with all that said, we can’t say the action is abnormal; earnings season always brings a few hiccups and the market deserves a breather after a big run. But just consider it a heads-up—the long-awaited market pullback could be starting. We’re keeping our Market Monitor in the bullish camp, as the odds are that any weakness will give way to higher prices.
This week’s list reflects where the strength lie in this market—mostly economically sensitive stocks, along with a smattering of earnings winners. Our favorite of the week is Las Vegas Sands (LVS), which just popped on earnings and is showing great strength after a two-year rest period.

Stock Name	Price	Buy Range	Loss Limit
Robert Half (RHI)	78.58	33.5-34.5	-
The Manitowoc Company (MTW)	0.00	17-18	-
Marathon Petroleum Corporation (MPC)	0.00	72.5-75.5	-
Las Vegas Sands Corp. (LVS)	0.00	52-54	-
HollyFrontier Corporation (HFC)	0.00	50-52.5	-
Community Health Systems (CYH)	0.00	35.5-37	-
CommVault (CVLT)	0.00	75-77.5	-
Credit Suisse (CS)	0.00	27.5-29	-
Celgene (CELG)	0.00	95-98	-
Cameron (CAM)	0.00	62-64.5	-

The market’s rally continues to impress, with the major indexes building on their gains and more individual stocks acting well. At this time, our indicators are this close to turning positive; we’ll officially leave our Market Monitor in neutral territory, but if you see a good opportunity, it’s OK to take it. We are growing more encouraged that the market’s two-month correction is over, but we need to see more power among potential leaders; it’s really the one missing ingredient in the market’s nascent rally.

This week’s list is a mixed bag of growth stories and sectors, but there are a few that have us interested. Our favorite of the week is a well-known company that most investors now dislike. It’s Facebook (FB), the social media giant, whose stock is one of the few that has shown great power during the past three weeks. Try to buy on weakness.

Stock Name	Price	Buy Range	Loss Limit
Ulta Beauty (ULTA)	331.95	96-100	-
Stratasys (SSYS)	0.00	69-72	-
Martin Marietta Materials (MLM)	261.52	86-89	-
Gulfport Energy (GPOR)	0.00	35-37	-
GameStop (GME)	0.00	24-26	-
Facebook, Inc. (FB)	0.00	25-27	-
eBay Inc. (EBAY)	0.00	51-53	-
Dillard’s (DDS)	0.00	87-89	-
Colfax (CFX)	0.00	37-38.5	-
Abercrombie & Fitch (ANF)	15.37	42-44	-

The market opened the New Year with a bang last week, partially thanks to a peaceful conclusion to the Fiscal Cliff deal. But, really, the market has been acting well enough for many weeks, and with some of the uncertainty finally in the past, the buyers flexed their muscle. At this point, we’re seeing excellent strength in many cyclical- and turnaround-type companies—financials, industrials, transports and the like, so that’s where your focus should be today. Growth stocks are doing well enough but we can’t say they’re leading quite yet ... though earnings season, which gets underway soon, can always change the landscape.

This week’s list is heavy on the cyclical side of the list, with many stocks coming back to life after 18- to 24-month rest periods—big launching pads that have the potential to generate sustained upmoves. Our favorite of the week is (believe it or not) General Motors (GM), whose business is at its best levels in five years and whose stock is acting like it has much more upside ahead. Buy on any weakness.

Stock Name	Price	Buy Range	Loss Limit
TripAdvisor (TRIP)	55.14	42-44	-
SodaStream (SODA)	142.91	45-48	-
Reliance Steel & Aluminum Co. (RS)	117.45	62-64	-
Robert Half (RHI)	78.58	31-32.5	-
Cheniere Energy (LNG)	63.82	18.5-19.5	-
General Motors Company (GM)	0.00	28-29.5	-
Ctrip.com International Ltd. (CTRP)	34.94	22-24	-
Citigroup Inc. (C)	0.00	39.5-41.5	-
Ashland Inc. (ASH)	0.00	80-83	-
ARM Holdings (ARMH)	0.00	37-39	-

Trouble usually comes from where investors least expect it, and it’s fair to say that Cyprus was not on most radar screens before this weekend. The much-publicized shock brought up fears of a 2008-style bank run, but it’s important to keep your feet on the ground and stick with the evidence. Right now, the trend is still up, and most stocks are in good shape; we did see some churning among the most extended stocks last week, so they might need a break, but we haven’t seen much abnormal action that occurs when the sellers take control. If that changes, we’ll let you know, but right here we’re keeping our Market Monitor in bullish territory—further short-term weakness could be in store, but the odds continue to favor higher prices in the weeks ahead.

This week’s list has a bunch of charts that look very strong and most are not overly extended to the upside. Our top pick is from the energy patch—Tesoro (TSO) is part of the very strong refining group, and the stock has eased back to support after a powerful run in February. We think it’s a good buy around here.

Stock Name	Price	Buy Range	Loss Limit
Tesoro (TSO)	0.00	54-56	-
Parexel Corp. (PRXL)	0.00	36-38	-
ServiceNow (NOW)	341.86	35-36	-
Netflix, Inc. (NFLX)	423.92	176-190	-
Lions Gate Entertainment Corp. (LGF)	0.00	21-22.5	-
Delta Air Lines (DAL)	54.28	14.5-15.5	-
Cabot Oil & Gas (COG)	0.00	63-66	-
Celgene (CELG)	0.00	109-113	-
Citigroup Inc. (C)	0.00	44-46	-
Aruba Networks (ARUN)	0.00	24.5-26	-