The volume of retail sales in Canada in June jumped by 1.9%, and core sales jumped by 1.2$. These are excellent numbers. Sales were expected to rise by 0.4% after a rise of 0.1% in May. Core sales was predicted to advance by 0.1% after a drop of 0.3%.
USD/CAD traded lower, at 1.0332, after reaching the lowest levels in over a month. The pair fell with a gap and is approaching the round number of 1.03. The low has been 1.0301 so far.
The Canadian dollar certainly has reasons to rise.
Update: USD/CAD now makes a dip below 1.03. The low so far is 1.0298. However, there was no follow through.
1.03 as initial support. Oil prices have also supported the loonie. Below 1.03, 1.0250 is weak support, followed by 1.02. 1.0360 works as resistance, followed by 1.0446.
For more levels, events and analysis, see the CAD USD forecast.
