Take a look at the chart below of the SPY. You'll see that while the ETF isn't at risk of breaking beneath its 21-day exponential moving average (EMA), plenty of supply was waiting for buyers around those early June highs.
My view on this is pretty simple. With the confluence of price resistance near $417.50, the year-to-date volume-weighted average price (VWAP, in blue) and the 200-day simple moving average (SMA, in red), the risks of remaining long are beginning to pile up. While I wouldn't necessarily be selling SPY short because it is still in a short-term uptrend (and above the 21-day exponential moving average), I'd definitely look to do some selling if price closed under an 8-day or 10-day EMA or prices spiked higher on a surprising weak Consumer Price Index report this Wednesday.
The chart of QQQ is nearly identical to the SPY, with the only difference being that QQQ didn't quite tag its resistance area near $330.
The same confluence of resistance areas that plague SPY is also present on QQQ. Here, too, my view is to sell out of longs on strength toward $330 or on a close under an 8-day or 10-day EMA. But again, I don't want to consider slipping into a bear suit until price is under the 21-day EMA.
IWM performed slightly better than the other ETFs on Monday, but I'd rather adopt a more cautious outlook than look for reasons to increase long exposure.
IWM broke above its VWAP anchored to the 2020 Covid low last week and traded above its year-to-date VWAP on Monday. Our next reference point, the 200-day SMA, is still about seven points above Monday's closing price, but the risks of staying aggressively long make me increasingly uncomfortable.
The bottom line is while all ETFs remain in bull trends and well above their 21-day EMAs, I'm a seller at these levels, not a buyer.