Dow Jones futures, along with S&P 500 futures and Nasdaq 100 futures, were lower following Monday’s stock market surge. Tesla rebounded Monday, while Zoom stock soared on earnings. Nio earnings missed estimates, sparking a sharp fall.
On Monday, the tech-heavy Nasdaq composite jumped 3%, its best day since Nov. 4. The S&P 500 moved up 2.4%, while the Dow Jones Industrial Average traded up 1.95%.
Tesla (TSLA) raced more than 6% higher Monday, snapping a two-day slide.
After the stock market close Monday, Zoom Video (ZM) reported strong quarterly earnings results. Zoom stock surged 10% in extended trade. Meanwhile, Chinese EV leader Nio (NIO) missed earnings estimates late Monday.
Dow Jones Futures Today
After the stock market close Monday, Dow Jones futures and S&P 500 futures fell about 0.3% each vs. fair value. Nasdaq 100 futures lost 0.25% vs. fair value. Remember that trading in Dow Jones futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
U.S. Stock Market Today Overview
Last Update: 5:24 PM ET 3/1/2021
On Saturday, the House passed the $1.9 trillion stimulus plan, including $1,400 stimulus checks for many Americans.
Stock Market Pullback Finds Support
Looking back at the current uptrend, November was a key month for the stock market. IBD’s The Big Picture flagged the new uptrend following the market’s bullish follow-through day on Nov. 4. Meanwhile, the start of March has the Dow Jones Industrial Average, Nasdaq and S&P 500 pulling back from record highs.
But Monday’s big gains are a clear step in the right direction. The Nasdaq reclaimed its key 50-day line, while the S&P 500 and Dow Jones industrials also found support around their 50-day lines. If this rebound continues, look for more top stocks breaking out past correct buy points in heavy volume.
Amid the stock market pullback, investors should play more defense than offense. Avoid new breakouts, unless they’re exceptional, and make sure to sell any stock that falls more than 7% below your purchase price. Remember, you don’t have to wait for the 7%-8% loss if the stock is clearly not acting well.
Focus on stocks that show strong relative strength during the current weakness. They could be some of the market’s leaders if the indexes are able to continue their rebounds.
Bitcoin rebounded Monday, briefly rallying back above $49,500 before paring gains. The price of Bitcoin traded around $48,600 in evening trade, according to CoinDesk.
The price of Bitcoin hit an all-time high on Feb. 21, topping out at $58,332.
The Grayscale Bitcoin Trust (GBTC) ETF tumbled 23.8% last week, but still held above its 10-week support level. The Bitcoin-tracking ETF jumped 6.1% Monday.
Dow Jones Stocks: Visa
Inside the Dow Jones Industrial Average, Visa stock is in buy range past a 211.69 buy point in a cup with handle, according to IBD MarketSmith chart analysis. The 5% buy zone goes…