PCLN Update

This is one that just about an hour ago I might have considered as a quick trade using the leverage of weekly options for a bounce and then short in to it like the AAPL play or VXX in reverse, but again, recent deterioration and what is just beyond a 2 and 3 min chart stay my hand in taking these kinds of risks.

 PCLN 1 min positive

Much like AAPL or any number of interesting shorts, all can come to us and VXX remains the timing mechanism.

The 2 min is positive like the 1 and 3 min above, but note the recent weakness in the 3 min to the right like so many other assets I've seen or posted today, I don't think it's enough to keep PCLN from bouncing and offering up a nice entry like AAPL, but this does need to be watched in case these are falling apart.

Also note the nice rounding bottom area, not very large, only several hours and they are proportionate with the preceding move so again it is as expected, but when considering taking the chance of a weekly call for that quick bounce, take a look at the 5 min chart...

That's a major problem and as high as my risk tolerance is, there's a certain amount of evidence you need to have to make a trade high probability. This is a decent probability trade for weekly options (calls / long), but it's not high probability and I make a distinction between the two, over the long run if you don't I think you get carried out feet first.