Dow Jones futures, along with S&P 500 futures and Nasdaq 100 futures, were little changed on Tuesday ahead of the market open, reflecting cautious investor sentiment. The stock market correction deepened on Monday, with the Dow Jones Industrial Average dropping nearly 200 points.

This week, tech titans Amazon, Alphabet, Meta Platforms, and Microsoft will be in the spotlight as they release their earnings reports. Alphabet and Microsoft are scheduled to announce their earnings on Tuesday evening, while Meta will report after the market closes on Wednesday. Amazon's earnings are anticipated to be released on Thursday.

In addition to earnings season, this week's economic calendar includes the first official estimate of third-quarter GDP growth on Thursday. Economic experts expect a growth rate exceeding 4%, fueled by an acceleration in consumer spending.

Investors will also be paying close attention to Friday's personal income and outlays data for September, which will reveal how the core PCE price index, the Federal Reserve's primary inflation rate, performed during the quarter. Economists predict a 0.3% rise, following three months of relatively low inflation rate.

On Monday, the Dow Jones Industrial Average declined by 0.6%, while the S&P 500 saw a 0.2% loss. In contrast, the tech-heavy Nasdaq composite managed to reverse early losses and ended the day with a 0.3% gain. All three major stock indexes hit new correction lows.

Among individual stocks, electric-vehicle giant Tesla made slight gains on Monday, while Nvidia, a stock market leader, surged by 3.8%. Tech icons Apple and Microsoft also witnessed positive movement, with Apple's stock up 0.1% and Microsoft shares climbing 0.8%.

As the stock market correction continues, investors are advised to heed caution and be prudent in taking on new positions. According to IBD (Investor's Business Daily), the recommended stock market exposure level is currently set at 0%-20%.

Despite the ongoing market uncertainty, there are several stocks that show potential resilience. IBD identifies Arista Networks, Lululemon Athletica, Meta Platforms, Zscaler, JPMorgan Chase, and Salesforce as some of the best stocks to buy and watch amid the new stock market correction.

While Dow Jones futures and other overnight trading indicators may not always reflect actual market activity, it is crucial for investors to stay abreast of market trends. Treasury yields and oil prices remain key factors to monitor, with the 10-year U.S. Treasury yield having eased from recent highs and oil prices experiencing a significant drop of more than 2%.

In light of the market conditions, investors are advised to refer to IBD's The Big Picture column for insights into the stock market outlook. At present, the market correction status remains unchanged, but a new stock market rally attempt began on Monday with the Nasdaq's upside reversal.

It is essential for investors to closely observe the performance of various stocks, particularly those exhibiting strength relative to the broader market. The relative strength line, which measures a stock's price performance compared to the S&P 500, serves as a valuable tool in identifying stocks that are outperforming the market.

Amidst the market downturn, Dow Jones stocks JPMorgan and Salesforce face their own challenges. JPMorgan has slipped below its 50-day line as it constructs a flat base with a potential entry point at 159.38. Software leader Salesforce is navigating its long-term 200-day line, with the 50-day line serving as a significant resistance area to watch.

In terms of growth stocks, Arista Networks, Lululemon Athletica, Meta Platforms, and Zscaler show promise. Arista sits on its 50-day line and is approximately 5% away from a potential buy point, while Lululemon is near a buy point in a flat base. Meta Platforms has reclaimed a buy point, and Zscaler is rebounding from its 50-day line.

As investors seek opportunities amidst the stock market correction, staying updated with market trends and carefully analyzing individual stocks will prove crucial to making informed investment decisions.

Disclaimer: The information contained in this article is for informational purposes only and should not be taken as investment advice.