Replies to post #49364 on Zeev's Turnips Patch-No Politics (ZEEV)

[ajtj99]

I guess what I'm pointing out is that we have a couple ways we can drop, as I think we're in agreement that new lows are on the way.

There is the Chinese Water Torture, where there is a series of lower highs, followed by a parabolic drop to new lows, there is the steady, 5-wave step drop to new lows like we had this March-July, or there is the quick drop like we had in Feb-March 2001.

My preference is for the Chinese Water Torture, as that would work well with the seasonal strength in early January and Max Pain / Futures expiration in December.

I think this will end in a 5-wave drop, and because of the seasonality, we need a corrective move off the high for Max Pain and possibly a re-test of the shelf at 1420 and possibly the highs.

I think the real nasty drop may be from mid-January to early April. That move is what I'm looking for to take this to the COMP 700-800 level. The COMP 950 level you're looking for may be a bounce point on the way to there, IMO.