The major averages ended higher after stronger-than-expected data was released from the ailing housing market. The volume total on the NYSE was slightly higher compared to Monday's totals, while volume was reported slightly lower on the Nasdaq exchange. Advancers led decliners by more than a 2-to-1 ratio on the NYSE and on the Nasdaq exchange. There were 77 high-ranked companies from the CANSLIM.net Leaders List that made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, higher than the 45 issues that appeared on the prior session. New 52-week highs again overwhelmingly trumped new lows on both exchanges.

The fact that there has only been one distribution day since the follow-though-day (FTD) bodes well for this nascent rally. It is also a welcome sign to see the market continue to improve as investors digest the latest round of stronger than expected economic and earnings data. Remember that now that a new rally has been confirmed, the window is open to proactively be buying high quality breakouts meeting the investment system guidelines. Trade accordingly.

Professional Money Management Services - A Winning System - Inquire today!
Our skilled team of portfolio managers knows how to follow the rules of this fact-based investment system. We do not follow opinion or the "conviction list" of some large Wall Street institution which would have us fully invested even during horrific bear markets. Instead, we remain fluid and only buy the best stocks when they are triggering proper technical buy signals. If you are not completely satisfied with the way your portfolio is being managed, Click here to get connected with one of our portfolio managers. *Accounts over $250,000 please.  ** Serious inquires only, please

PICTURED: The S&P 500 Index rallied to a new 18-month high today.

Charts courtesy www.stockcharts.com

PICTURED: Perched at its recovery high, the Retail Index has rallied +16.93% from its February low.

Cninsure Inc (CISG +$1.65 or +6.45% to $27.24) posted a considerable gain today with three times average volume for a new 52-week high. It is getting more extended from its previous sound base, now rising after a brief 2-week consolidation. Its weekly chart resembles a "3-weeks tight" pattern, yet that type of advanced chart pattern normally is considered valid only after a stock has distanced itself more substantially from its prior chart highs. For now, prior chart highs in the $24 area are now an important support level to watch. No overhead supply remains to act as resistance, however, and it could easily get more extended. Patience did not yet allow any opportunity to accumulate shares under its "max buy" level since its last appearance in this Featured Stock Update section on 3/03/10 with an annotated graph under the headline, "Volume Eight Times Average Behind Breakout Gain."  Disciplined investors will wait for another ideal entry point without chasing it beyond the investment system guidelines.

It rose from a 20-week double bottom base with 8 times average volume as it was featured in the 3/03/10 mid-day report (read here) color coded yellow with pivot point cited based on its 11/18/09 high. This China-based insurance broker has shown strong earnings and sales growth above the +25% guideline but generally decelerating over the course of recent years. The lack of leadership in the Insurance-Brokers industry group also remains a concern with respect to the investment system's L criteria.

Color Codes Explained :
Y - Better candidates highlighted by our staff of experts.
G - Previously featured in past reports as yellow but may no longer be buyable under the guidelines.