SEB Research discusses the best seasonal trades for Nomvember.
"Among the many G10 seasonal patterns,the ones that stand out the most are for weaker oil currencies (NOK and CAD) and a stronger USD and SEK. We suggest a seasonal G10 basket for November which is long USD/NOK, USD/CAD and short NOK/SEK," SEB notes.
"In the past five years such a basket would have gained 1.4% per year on average, returned 7.1% in total, with a positive return in all of the past seven years. However, so far this year, seasonality has been a weaker factor than usual with all the special circumstances due to Covid-19. This also proved to be the case in October when the suggested basket lost 0.2% (-1.4% with the suggested stop-loss strategy)," SEB adds.