To understand the navigation, just draw your values as trees, with the constructor on one level and the children below. For example, a list [1,2] becomes:
(:)
/ \
1 (:)
/ \
2 []
And a tuple (1,2) becomes:
(,)
/ \
1 2
Also note that down not only moves a level downward, but also to the rightmost child (down' moves to the leftmost child instead).
I'm not sure how useful it is to use a zipper on a Seq (which, as you can see in the source, is still just a tree, like all data types,) as the implementation uses a balanced FingerTree which is kept abstract. But as it turns out, the Seq Data instance follows the right-associative view pattern, so if you wish you could navigate similar to lists (down for the tail, and down' or down followed by left for the head).
Cheers,
Martijn