While we've seen a decline in these markets last week, the key Fibonacci Timing highs on daily and weekly index charts actually focus during this week. This was discussed in last Monday's article too and I'll recap here.
By counting the number of bars between prior pivots on the weekly charts and multiplying by specific Fibonacci trading ratios, the cycles point to a significant pivot high during the next two weeks. We always have to allow for a +/- 1 bar margin of error on this, so it's possible that we have seen the major high as of last week. But a pinpoint analysis on the daily charts points to the tighter timeframe focus for a high within the next couple of days; the major focus high is for Wednesday May 20 TH .
What this tells us is that an attempt to resume the rally from daily support at this point is likely to fail at key resistance retracement levels. To start, here are the weekly charts showing the major timing resistance.
S&P Cash Weekly:
Dow Cash Weekly:
You can see that the Dow had timing cycles for a high during last week too.
On the dailies, support held and if we rally from here we'll need to watch the key resistance levels if price reaches .618 - .786 retracements of the major high to current low.
On S&P, this zone is from 910 – 919:
And on Dow cash, from 8451 – 8511:
On our intraday futures charts, that puts the key resistance at ES 908.25 – 916.75 on the 45 minute chart:
And on YM 45 minute, the key resistance is from 8431 – 8492: