RSI and Trend line indicate a pull back imminently
Updated
RSI is starting to fall after hitting overbought level and while vaccines signals a change in fundamental and returning back to normalcy will happen, SPY is actually 10% up year to year and has little upside to continue. As Covid cases rise and soft lock down happen across the country, the better play will be short the next 2 weeks or until SPY find supports possibly at 340 level. Full disclosure, I bought puts right at the end of today's closing bell when SPY reach 362.
Note
Bulls are holding strong at 360 but key level is 362, if SPY closes above 362 today, the pull back might not happen. If SPY closes under 360, the pull back is certain to happen and if SPY closes between 360-362, we need to pay more attention to lock down measures and stimulus talk for further indication.
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