VXX Short Swing Trade Follow Up

Here's the original idea posted last Wednesday, August 24 @ $41.29

Today the trade is up nearly 7%, but the premise of the trade was to use options so if anyone took this trade using options, let me know how you are doing.

 The premise of this trade is that the daily 3C chart has ht a negative divergence and the VXX should see a significant swing lower over the coming weeks. Remember the VXX trades inversely to the market or the S&P-500 so that gives you some idea of where I think the market s going, although you probably are pretty well aware of that by now.

 Here's the trade idea/entry

 The 60 min chart would imply that we have quite a bit more downside, however as an options trade, I would NOT hold this until expiration.

 I have said several times today that I feel the market may be down tomorrow, that would serve as a head fake as it would take the bullish triangle and make today's breakout look like a failed pattern and technical traders are taught to go short on a failed bullish pattern.

Here's the daily Trend Channel stop around $42.50, but even if it were to hit $42.50 on a close, I would consider leaving the position open so long as there's a 3C negative divergence, a head fake has to be convincing! Also I'd keep an eye on ADX to turn lower from the 54 level, that would be another strong indication that VXX's uptrend has run its course.