Gen: Estimate of current decline

[Steve Walker <Steve@xxxxxxxxxxxx>]

RealTraders:

Here is something I picked up from an Andrews pitchfork crs I took.  Sometimes, it is quite accurate.

Look at a daily chart of the OEX.  Notice the following alternating pivots..

8/19 low at 684
8/25 high at 725
9/2 low at 685
9/10 high at 715
9/15 low at 685

That is two high pivots and three lows with minimum range of 30 points (715 - 685).  For a low projection following the 9/15 pivot, multiply the 30 point range by the number of low piovts (3) to get 90 points.  Subtract this from 685 (low pivot) and 715 (high pivot in the range) and you get an estimate of this decline of 595 - 625.

I bot puts at 700.  Let's see if the decline reaches this estimate.

Steve