The S&P500 (SPY) is in an uptrend channel, starting at 285$ level, the current levels are very high as the RSI of the daily price has reached levels unseen since May 2019.
In case the market starts to correct, that put the correction levels at around 308 levels, the volume in the last few days is low on up days and high on the down days, indicating buyers weakness.
We have been forecasting a correction for quite some time until now there has not been a major move to the downside and we are “climbing the wall of worry ..”
Keep a tight stop loss on open long positions and a hedge in the form of out of the money calls or in the money puts, we don’t recommend opening long term long positions only short term ones, stay nimble and reactive at this time.
Trade safely,
Alon