Lets Get This Straight!
1) You can simply hold the position and hope it expires profitably.
2) You can exit the spread for a loss of approximately $0.60 per contract ($1.10 closing debit - $0.50 initial credit = $0.60 X 5 = $300 loss overall)
3) You can roll up and out to the JUL-$160/JUL-$155 call-credit spread. Since that trade can be made for little additional cost ($0.20 - $0.30), it may be the best "adjustment" alternative for the majority of readers and the model MCM Portfolio.
4) You can transition to a neutral-outlook calendar spread (JUL-$145/APR-$145) for a debit of roughly $5.00 per contract, as outlined in Monday's Blog. Although this technique is not appropriate for many readers, it does offer a unique risk-reward outlook for traders who favor "time-selling" strategies. In addition, we will be following this position (as well as the roll-out trade) for the benefit of our new readers and the educational value it will provide them.