S&P500 INDEX - Stocks are in play - S&P500 analysis - 11/20/2023 (GMT)

This week, the financial market had a significant shift triggered by the CPI publication for the United States. The core inflation was less than anticipated: It had immediately triggered speculations about the softening monetary policy, pushing the US dollar down, and lifting Gold and Nasdaq. 

Probabilities of the interest rate hike have diminished substantially not only for December’s meeting of Fed but also for 2024. Gold had almost liquidated the drawdown, starting on October 30, 2023. Nasdaq had tested an all-time high, showing that recession fears are probably not relevant anymore.
Spead between 10-year bonds and 2-year notes had almost turned positive, which is also a signal of recovery. The main event in focus of traders for next week is the publication of FOMC minutes: protocols for voting from the FOMC committee about the monetary policy.
So, today, the market is focusing on cyclical assets: Gold, stocks, and cryptocurrencies.
Let’s assess the possible future dynamics of the S&P500 index.

S&P500 
S&P500 index is moving substantially higher than the dynamic support area: a combination of two moving averages with parameters of 20 and 50. Such a position usually gives a further bullish development if S&P500 would consolidate, as shown at the chart.
Tech stocks remain to stay the main driving force behind S&P500, but the overall market looks solid too, so the upside breakout would be logical.