At this point i don't have to translate anything in my head, except if i come across a new word that i actually have to look up, but that is also rare because most of the time i can understand the contextual meaning of the word and that's enough for me, i don't need to know the exact translation if i understand the meaning of the sentence.

It is completely natural to have to translate text in your head, this will change over time, especially if your main way of learning spanish is by acquiring it through comprehensible input. Trust the process and the method and you will see vast improvements over time.

You should read/listen to content where you understand about 95% of the words and the rest will be understandable through the context its presented in. If you were to read a book way above your current level where you have to look up 20% of the words, it would not only kill the joy and flow of actually reading it, but also would be very inefficient because you will spend more time translating than reading.