On the contrary. They were selected out.
What I mean to say is, that if intermediate forms didn't work and therefore were "selected out," then you lose all those helpful little incremental mutations embodied in those intermediate forms, and you're back at Square One. "Hopeful monsters" (as the term was used by Goldschmidt but even moreso by Gould) would never make any progress because they would always get selected out before they spawned any bright young'uns that were Hopeful-Plus-One.
It's important to keep in the front of your attention that evolution does not have a telos. Evolution doesn't "know" or "care" about anydamnthing. It doesn't "hope" that if it just hangs in there, eventually the little incremental mutations will survive through the rough patches and turn into Julian Huxley... :o)