After a slow start to the season, Rangers are now unbeaten in their last five games and Saturday's 5-2 win over Barnsley moved them up to eighth.
But Magilton said: "It's still a work in progress, there is so much room for improvement.
"There's a long way to go, but there's a great belief in the camp and the confidence is growing.
"We set ourselves high standards here and we'll continue to do so."
Magilton has however hailed the impact of Mikele Leigertwood this season.
Leigertwood has moved from his accustomed midfield role to right-back recently but remains a key performer for Rangers and scored a superb goal in at the weekend.
"Mikele is an outstanding athlete and an outstanding person, both on and off the park," said Magilton. "He has goals in his locker, there's no doubt about that.
"He scored a wonderful goal playing in midfield earlier in the campaign from an area which I believe he can really exploit and he bombed on from right-back on Saturday and scored another classic.
"He's a proper footballer and I am absolutely chuffed to bits with him."