Sellers on retail sales yesterday, are buyers on weaker CPI
The Canada CPI came in weaker than expected, and that has seen the USDCAD move higher - erasing some of the move after yesterday's stronger retail sales.
The price of the USDCAD has moved back above the 200 hour MA (green line at 1.3250) and the 100 hour MA (blue line at 1.3260). The move above those levels has returned the bias back to the upside. The pair has also moved back above a broken trend line from yesterday.
The pair is looking to test the natural resistance area at 1.3300 (that was where the price was around before retail sales yesterday). A move above that level and traders might look to target the 100 day MA at 1.3337. Yesterday the price stalled there. On Wednesday, there was a move above on two separate bars with little in the way of momentum.
