Dow Jones futures, along with S&P 500 and Nasdaq futures, are gearing up to kick off Sunday evening. All eyes remain on President Donald Trump’s tariff plans, which continue to shape market sentiment.
The stock market managed modest gains last week, snapping a string of weekly losses. Major indexes staged a slight rebound on Friday after Trump hinted at “flexibility” regarding his upcoming reciprocal tariffs. While rally attempts are holding steady across key indexes, a definitive follow-through day—signaling a confirmed uptrend—has yet to materialize.
Growth stocks like Spotify (SPOT), Rubrik (RBRK), Netflix (NFLX), Okta (OKTA), and MercadoLibre (MELI) are showing resilience. These names are testing resistance levels that could soon present buying opportunities for investors. Beyond tech, sectors such as insurance, exchange operators, aerospace, and biotech are also worth watching—though the next market leader remains anyone’s guess.
Tesla (TSLA) extended its weekly losing streak but appears to be stabilizing. Meanwhile, its rival BYD (BYDDF) is set to release Q4 earnings early Monday, offering fresh insight into the electric vehicle space. Rubrik stands out on the IBD 50 list, while Netflix holds a spot on the IBD Big Cap 20.
What’s Next for Dow Jones Futures?
Trading for Dow Jones futures begins Sunday at 6 p.m. ET, alongside S&P 500 and Nasdaq 100 futures. Trump’s latest comments on tariff flexibility are adding intrigue, but overnight moves in futures don’t always predict the regular session’s direction.
Trump’s Tariff Outlook
On Friday, Trump suggested there’d be “flexibility” in his reciprocal tariff rollout, slated for April 2. A Bloomberg report over the weekend added that some countries might dodge these tariffs, with no new sector-specific levies planned for that date. Still, tariff details remain fluid, and a significant escalation is expected on April 2, coinciding with the end of a temporary pause on tariffs for many Canadian and Mexican goods.
Market Rally Holds Steady
Last week’s stock market rally delivered slim gains, boosted by Friday’s tariff-related optimism. Federal Reserve Chair Jerome Powell also weighed in midweek, brushing off tariff risks after the Fed’s latest meeting, where officials penciled in two rate cuts for 2025.
The Dow Jones Industrial Average rose 1.2%, flirting with its 200-day moving average after repeatedly testing that level. The S&P 500 edged up 0.5%, sitting just shy of its 200-day line, while the Nasdaq Composite crept 0.2% higher, still well below its own 200-day mark. The small-cap Russell 2000 added 0.6%. Meanwhile, the Invesco S&P 500 Equal Weight ETF (RSP) gained 0.7%, though it, too, bumped up against 200-day resistance.
NASDAQ Composite Index (IXIC)
The rally attempt remains alive, with major indexes staying above recent lows. A follow-through day could spark at any moment, signaling stronger momentum ahead. The 10-year Treasury yield dipped six basis points to 4.25%, while U.S. crude oil futures climbed 2.05% to $68.28 per barrel. Investors are now awaiting Friday’s core PCE price index—the Fed’s preferred inflation measure—which may not be as subdued as recent CPI and PPI data.
ETF Highlights
Growth-focused ETFs showed mixed results. The Innovator IBD 50 ETF (FFTY) jumped 2.1%, and the iShares Expanded Tech-Software Sector ETF (IGV)—which includes Rubrik—gained 1.5%. The VanEck Vectors Semiconductor ETF (SMH), however, slipped 0.8%.
Cathie Wood’s ARK Innovation ETF (ARKK) surged 4.6%, and the ARK Genomics ETF (ARKG) rose 2.4%. Tesla remains ARK Invest’s top holding, with Wood also maintaining a small position in BYD. Elsewhere, the SPDR S&P Metals & Mining ETF (XME) dipped 0.55%, while the Energy Select SPDR ETF (XLE) soared 3.1%. The Health Care Select Sector SPDR Fund (XLV) added 1.1%, the Industrial Select Sector SPDR Fund (XLI) rose 0.9%, and the Financial Select SPDR ETF (XLF) climbed 1.9%.
Stocks to Watch:
Spotify stock surged 4.4% last week, closing at 600.04. The music and podcast streaming leader is shaping the right side of a V-shaped consolidation, though it’ll need another week to solidify into a proper base. On March 14, shares reclaimed the 50-day moving average—a bullish sign. Looking at the daily chart, Spotify’s forming what could be considered a handle with an entry point around 604.11. Interestingly, its relative strength line is hovering at peak levels, even though the stock itself remains below its all-time high. Investors are tuning in closely.
Spotify Technology (SPOT)
Rubrik stock slipped 3.5% to 68.16 last week, cooling off after a nearly 28% spike on March 14. That earlier jump—fueled by solid quarterly earnings and upbeat guidance—pushed shares above the 50-day line, though they dipped back below it by Friday. The cybersecurity player’s chart shows a potential handle buy point at 72.41, but the base is still too fresh to call fully formed. While Rubrik isn’t yet profitable, its accelerating revenue growth has caught the market’s attention.
Netflix stock climbed 4.6% to 960.29 over the week, taking a breather in recent days but holding just above its 50-day and 21-day moving averages. A consolidation pattern is starting to take shape, hinting at a setup for patient investors. If shares break past last week’s high of 968, it could signal an early buying opportunity. The streaming giant continues to draw a crowd as it steadies for its next move.
Netflix (NFLX)
Okta stock edged up 1.1% last week to 113.74, hovering near a consolidation buy point of 114.50, as flagged by MarketSurge. The cybersecurity standout has also carved out a tight three-week pattern, offering a potential entry at 116.96—some might see this as a high handle. That level came into focus after a post-earnings surge, underscoring Okta’s momentum.
MercadoLibre stock rose 3.7% to 2,095.27, sitting comfortably above its 21-day and 50-day moving averages. The Latin American e-commerce and payments powerhouse is building a new consolidation near the peak of a double-bottom base. A breakout above its March 17 high of 2,124.76 could serve as an early buying signal for investors.
All five of these growth stocks—Spotify, Rubrik, Netflix, Okta, and MercadoLibre—carry elevated average true ranges (ATRs), meaning they’re prone to sharp intraday swings. In today’s choppy market, that volatility could spell quick losses. IBD currently advises sticking to stocks with ATRs below 3%. Among this group, Netflix comes closest at 3.89%, while MercadoLibre clocks in at 4.48%, Okta at 5.4%, Spotify at 5.63%, and Rubrik tops the list at 7.52%. That said, in a confirmed rally, higher-ATR stocks could become more appealing as the risk-reward balance shifts.
Tesla (TSLA)
Tesla stock stretched its losing streak to nine weeks, dipping 0.5% to 248.71. Despite the slide, it’s holding above its March 11 lows and notched a three-day winning run, capped by a 5.3% pop on Friday. Still, TSLA remains well below its 200-day and 50-day lines, with analysts trimming delivery and profit forecasts.
Tesla’s Chinese rival, BYD, is set to drop its Q4 earnings early Monday. Last week, BYD made waves by unveiling a superfast charger—a potential game-changer for EVs—and earlier this year, it rolled out standard driver-assist tech across its lineup, pressuring competitors to keep up. BYD stock hit a new high last week before paring gains on Friday.
What’s the Play Right Now?
The stock market’s still searching for solid ground. Despite an ongoing rally attempt, it hasn’t fully shaken off correction territory.
If you’re eyeing small starter positions in stocks with strong relative strength—especially those crossing key levels—that’s fine, but keep an exit plan ready. For now, cash remains a smart spot to park your money.
Even if a rally gets confirmed soon, ease into positions gradually. A follow-through day could falter, and it’s tough to predict which stocks or sectors will take the lead. Build a diverse watchlist and refresh it often. Staying in tune with market trends and top performers is key—check The Big Picture daily for the latest insights.