Image Source: Pixabay

This doesn’t happen often – – well, almost never, really – – but I totally dodged a bullet by sheer chance. You see, on January 6th (there’s that date again!) I went long CROX $125 puts expiring in September. Yesterday, even though there was obviously a ton of time left, I sold them at about a 65% profit, as illustrated by our beautiful Options Charts page.

Why did I sell options that had over seven months of life left? Well, I didn’t want to get greedy. The chart was really oversold, and with a P/E of 6 (yes, 6) I figured this wasn’t exactly Carvana level of overvaluation (which itself has a P/E literally in the THOUSANDS). So, as shown by my brokerage screenshot, I dumped ’em at $37.80:

I had CROX completely out of my mind at that point (I had even moved it from my Bear Pen to my Core List in SlopeCharts) when one of you informed me during my dog walk that CROX was roaring higher. The arrow below marks yesterday where I took my profits.

Reflecting on the longer-term chart, I was right in figuring the selling was done for now. Better to be lucky than smart, right, Slopers?

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