The heavy defeat to the Saints just over a fortnight ago came as a shock to the system after a spell of just one defeat in nine games including five straight wins that took Clive's side to the top of the FA Premier Reserve League South.
They responded with a gritty 1-1 draw having led at Palace last week and now face Norwich City at Carrow Road tomorrow night.
"I thought the things we were doing well before Christmas were coming back in terms of the effort, the way we went about the game physically and how we played good football at times in difficult conditions," said Clive of the Palace game.
"The best move of the game involved the new lads Emil (Hallfredsson) and David (Limbersky) and it was nice to see Lee Barnard back on target.
"It was much, much better than Southampton, still short of what we're capable of but progress has been made since Southampton and we need to take that into the Norwich game.
"I'm sure everyone is looking forward to that because it's at Carrow Road, a very good surface against a decent side who will want to play."
Simon Davies will continue his comeback at Norwich and has targeted playing 90 minutes after a 45-minute return at Palace.
Clive Allen says he can see progress since our reserves night to forget against Southampton.