This is a great example of how emotions can screw up a perfectly good trade. I’ve written about Lovesac (symbol LOVE) many times, including this post from two months ago, when it was 50% higher than it is right now. I had October puts on this thing, but a few days ago, I scurried out of them for NO reason except that my confidence is approximately 0.00 right now, and I was scared of what this morning’s earnings report would do to it.
Well, what it DID was kick the stock in the ass and send it down hard, making a good pattern even better. So my erstwhile October puts are doing fantastic, thank you very much. I hope some of you out there held on to your LOVE short and didn’t wimp out like me. Pathetic. Just pathetic.
