The only horse to get Altior off the bridle last season, he unfortunately fell at the second last when still holding an advantage over Nicky Henderson's star in the Arkle.
He subsequently went to Aintree but could finish only third in the Maghull Novices' Chase.
"He is fine. He has qualified for intermediate chases and will run in one of those as he has only won one race, then we can work out where we will go," said Bailey.
"He needs to have a jump over fences and do his job.
"He has only been in with us about five weeks and we are nowhere near ready to run. He will be out in November, I imagine."
Stablemate The Last Samuri, second in the 2016 Grand National, has the Becher Chase has his first aim and he will be aiming to improve on his third place last year.
Bailey said: "He will go back to the Becher Chase. I don't think we will get a race in beforehand. The sad thing is there are not many races he can run in. He loves the National fences, then we will make our mind up about the future.
"He is a horse that finds the big occasion very difficult and he got very wound up last year. Obviously I'd like to be there (National), but he has got to justify his case. He will carry top weight and it would make it difficult for him."