We’ve been bottom-fishing promising bear-market targets with good success and currently hold four June 16 13.50 calls purchased for 0.45. We’ll continue to extend this play by acquiring calls when the underlying falls to the nearest major Hidden Pivot support. Presently that implies the 11.26 target shown. Yes, we could always nibble on some calls at 12.47, the ‘secondary’ Hidden Pivot, adding to our position even if VXX doesn’t achieve 11.26. But I’m going to recommend bottom-fishing at the lower number only in order to boost our odds of winning if the order fills. It could take a few days for this trade to materialize, but if and when VXX gets within 0.06 points of 11.26, buy eight June 30 12.0 calls at-the-market. The order should be marked good through Friday._______ UPDATE (Jun 15, 4:34 p.m. EDT): We’ll stick to our game plan, buying calls on this death trap only if it falls to the 11.26 target. However, let’s move out to the July 7 expiration, same strike price: 12.0. If VXX gets within 0.06 points of 11.26, buy eight July 7 12.0 calls at-the-market. Since the June 16 calls we already hold expire on Friday, be prepared to exit them at will if VXX pops. [It didn’t.] _______UPDATE (Jun 19, 9:54 p.m.): The intraday low was 12.50, but unless you know how to ‘camo’ your way aboard, I’ll suggest waiting for the ‘easy’, one-size-fits-all play at 11.26. Our risk, as far as I’m concerned, is that VXX will turn from here, exactly, or from a low just above 11.26.
