The Canadian strengthens its position. Retail sales data on Canada

The Canadian dollar strengthened its position against the US dollar due to the positive data on retail sales in Canada, as well as in connection with the resumption of the US dollar sales at the beginning of American trades.

• The volume of retail sales in Canada grew by 0.2% in November, while analysts expected a decline of -0.1%.
• The base retail sales index increased by 1.6%, exceeding the previous value of 0.8%.
• The yield of 10-year US government bonds at the moment shows a decline of -0.11%, while during the European session it was about +0.07%.

Technical analysis: At the moment, the pair USD/CAD is testing a significant support level at 1.2300, near it there is also a support line of the descending channel on H1. If the price of the instrument is able to gain a foothold below 1.2285, one should expect a further decline to 1.2250. The main resistance levels are considered at 1,2365, 1,2400.

Fig. USD/CAD. The current price is $ 1.2298.

Alexander Sivtsov