Cable is showing a strong seasonal pattern to go lower during the month of November. We can see that during the previous two months GBP/USD has been moving in the same line with the seasonal pattern and this may be a strong case to assume that it will continue to do so in the next month.Don't forget, never use this information alone but instead use the technical tools to confirm this ideas or not, so we're going to look at technicals as well.

Important levels to watch:

  • 1.5500 Big Round Number and psychological number should act as resistance;
  • 1.5100 Last swing Low;
  • 1.5000 Big Round Number and psychological number should act as support;

Figure 1. GBP Seasonal Pattern.

On the Daily chart we can clearly see the market making lower highs and lower lows which is an indication that the markets wants lower. My guess is that we’re going to make another new marginal low below 1.5100 before to know his true intentions.

Figure 2. GBP/USD Daily Chart.

Forecast: Based on my analysis and my projections, we should see an exchange rate for GBP/USD of 1.50856 for 1st of December 2015.

Best Regards,
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