CAD Retail Sales Up Next
Over a quiet pre-Christmas week, we have one of the few, key data releases today. Canadian retail sales for November are due and, given the hawkish BOC expectations in place, will be closely watched. The market is looking for a firm rebound on the prior month with core retail sales expected at 1.6%, on the prior month’s -0.2%. Headline retail sales are expected to rise similarly to 1% from the prior month’s -0.6%. If such an uptick is confirmed, this will clearly be good news for CAD. However, given the hawkish expectations, there is plenty of room for disappointment and, especially in light of the current omicron uncertainty, any unexpected weakness in today’s figures will likely be reflected in a sharp weakening in CAD.
Where to Trade CAD Retail Sales?
NZDCAD
If we do see a weaker than expected number today and CAD sells-off, once pair which look set to breakout is NZDCAD. Price is rallying off the latest test of the .8631 level support and is now fast approaching a test of the .8751 level. A break above here will allow bulls to target a run up to the .8858 level next, with the bearish trend line from YTD highs in that region also.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.