How to end the Credit Put Spread saga

[drmark27]

Hey Folks,
I have a Credit Put Spread on BAYN with 5 contracts of 64/62 Put Credit Spread expiring 17th May @ 0.7 euro credit (i.e max loss 650 euro).
Stock went down then started moving up a bit hence did not adjust but now increasingly looking to tank further. Currently trading around 60 euro (i.e both short and long are breached).
Sounds like I have a "Do Nothing" (and suffer) situation
Any other views please?
Any further complication if assigned esp between the Put strike prices?
Thx
Dave

What was your trading plan when you entered?

If you didn't have one or did not have a contingency for the current situation then I would close it, take the loss, and try to be more complete next time.

 

[coldplay_option]

Just as an update. I did close this trade before earnings and digested the loss a bit better. As a rule, I should aim to close or adjust such trades when the short is compromised (take the lower loss and move on)... rather than assuming probability will help correct it later. I know I might close some good trades early but long terms could be a safer bet hopefully