The market is doing a nice job of being unpredictable with a sudden intraday spike on no obvious news. Strength in oil is receiving most of the credit for the overall market strength today but it is likely that there are some buy programs triggered now that the S&P500 has moved over the 50-day moving average at 2672 and has held.
Bears were looking for the maket to stall out as it hit the top of the recent trading range that goes back to March 22, but they are now being squeezed as the market shrugs off the Iran news and doesn't seem to need any obvious positive news catalyst to keep on running.
Breadth is approaching 2 to 1 positive and there are over 300 stocks hitting new 12-month highs with many of them in the oil sector.
This is not a normal uptrending market with good breakouts to buy. I've been having my best success buying stocks that are under pressure following earnings. In particular the biotechnology names have been jumping back to life after sharp picks. Global Blood (GBT) and Vericel (VCEL) were good examples yesterday and Arena (ARNA) and Clearside (CLSD) are good examples today.
The buyers are on a rampage right now and are squeezing this market higher. Key technical levels to the upside are being attacked and there isn't much choice for the bears to be move out of the way. There isn't any compelling reason for this action but the market never needs a good reason to run over skeptics that are poorly positioned.