The 10-13 Week Cycle

AFB,
I looked at SPX and OEX Call options (see above), especially the
in-the-moneys which I prefer. According to that check of yesterday
the SPX calls are significantly cheaper in terms of Time value.

I would probably go with the Jan.875 Calls (SPXAO),
but I have not bought yet, maybe today or early next week.
I want to see how the late drop plays out.

- - -
Here's what ZBZ from wsBear says about E-Wave structure:

Here is where we are now....

Wave 1 from 954.28 (12/2) to 891.97 (12/9)

Wave 2 from 891.97 to 911.22 (12/17); a shallow flat with b of 2 going below end of 1.

Wave 3 from 911.22

i of 3 911.22 - 880.32 (12/19) a clean 5 down
ii of 3 880.32 - 903.89 (today hi); an a b c or abc-x-abc (depending how ya want to label it).
iii of 3 903.89 underway

Unfortunately still sticking with my target of 865 SPX within next 3 to 5 trading days to complete the entire WAVE 1 of 3 from 954 to target of 865 (this would be truncated 5 wave movement with wave 1 being the extended wave).

From 865 we up to 920-930 to complete wave 2. This would create nice H&S with:

i. Head at 954
ii. neck 860-870 ish
iii. shoulders at 920-930

target for this move which should begin mid Jan thru Q1 -03 is 775ish for the first salvo to the Oct lows of 768. Then slight bounce up to then bomb down thru oct lo 768 to new lows in q1 03.

Play is to trade to the 865-870 area now; then bounce to 920-930 when will be the time to accumulate Mar 775/Mar 800 puts...

Nice profits today and looking forward to gettin in the groove again with more EW posting...

(UNQUOTE, from ZigBearZag)