The Dow and are up 11.5 percent since the lows of February 11, while the Nasdaq is up 14 percent.
Despite this huge move, David Rainey, co-portfolio manager of the Morningstar 5-star rated Hennessy Focus Fund, tells CNBC's "Power Lunch" on Monday you can still make money at these levels.
"The market remains reasonably valued (considering historical levels, interest rates and U.S. growth rates) at 16x forward earnings, U.S. economy improving," Rainey said.
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But he believes stock selection is key in this environment. "Clearly a rising tide does not lift all boats at this stage of an expansion; i.e. commodities/ oil/ MLPs/ large banks," Rainey said.
One of his favorite stocks now is Hexcel Corp, which makes advanced materials for the aerospace and defense industries.
"We believe Hexcel has excellent growth prospects as Boeing and Airbus compete to make lighter, more durable and more fuel-efficient planes," Rainey said.
Hexcel is down one percent during trading.