• USD/ CAD dipped on Friday as upbeat Canadian retail sales data supported Canadian dollar .
• Canadian retail sales grew by 0.9% in July from June, led by higher sales at motor vehicle and parts dealers, while sales likely climbed further in August, data from Statistics Canada showed on Friday..
• The increase in retail sales, to C$66.4 billion ($49.0 billion), eclipsed estimates for a gain of 0.6% and could ease fears about the strength of the Canadian economy.
• Technical signals are bearish as RSI is at 44, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.3589 (50%fib), any close above will push the pair towards 1.3649 (61.8%fib).
• Support is seen at 1.3536(38.2%fib) and break below could take the pair towards 1.3500(Psychological level).
Recommendation: Good to sell around 1.3580, with stop loss of 1.3640 and target price of 1.3480
