• USD/CAD initially gained on Friday but gave up some ground as investors digested Canadian retail sales data.
• According to a report by Statistics Canada, retail sales in Canada rose by 0.4% in September from August, reaching C$66.94 billion ($47.82 billion), mainly due to increased sales at food and beverage stores.
• In September, sales increased in six out of nine subsectors, accounting for 58.1% of retail trade. In terms of volume, there was a 0.8% increase in retail sales.
• At GMT 17:03,the dollar was up 0.06% at 1.3982 against Canadian dollar .
•Technical signals are bullish as RSI up at 61, daily momentum studies 5, 9 and 1 DMAs are trending up.
• Immediate resistance is located at 1.4018(23.6%fib), any close above will push the pair towards 1.4054(Higher BB).
• Support is seen at 1.3948(SMA 21) and break below could take the pair towards 1.3906( (38.2%fib).
Recommendation: Good to buy around 1.3960, with stop loss of 1.3900 and target price of 1.4090
