Markets may be watching the Canadian dollar’s movements following its rise on the back of strong retail sales

Markets may be watching the Canadian dollar’s movements following its rise on the back of strong retail sales

25.09.2023

Last weekend, the Canadian dollar rose against the yen after Canada’s September retail sales, released on the 22nd, came in stronger than expected at 0.3%, up from 0.1% the previous month. The CAD/JPY pair rose from 109.367 to 110.415.The price moved significantly toward this month’s high range. However, on the daily chart, the CAD/JPY RSI is approaching the 70 level, and the weekly RSI is at a similar level. Therefore, we should be cautious of a correction during European trading hours.

European currencies saw the euro fluctuate against the U.S. dollar after Germany’s September PMI, released last weekend, showed a recovery in both the manufacturing and services sectors compared to the previous month.The EUR/USD pair traded within a range of 1.0614 to 1.0673, fluctuating as it was capped by the 200-period moving average on the 4-hour chart. On the weekly chart, the pair is positioned just below the support line in the 1.06 range, so we will be watching closely to see if it breaks below this support level.

Today, at 3:00 PM, Norway’s credit indicators; at 3:30 PM, Hungary’s total wages; at 4:00 PM, Turkey’s capacity utilization rate and economic sentiment index; at 5:00 PM, Germany’s IFO Business Climate Index and the Philippines’ unemployment rate; at 7:00 PM, the UK’sCBI Retail Sales, at 9:00 PM UK time, Brazil’s Consumer Confidence Index, at 9:30 PM UK time, the US Chicago Fed National Activity Index, at 10:00 PM UK time, remarks by ECB President Lagarde, at 11:30 PM UK time, the US Dallas Fed Manufacturing Activity Index, and at 12:30 AM UK time, a US 6-month Treasury bill auction.We intend to carefully monitor the movement of the Canadian dollar, which has risen on the back of strong retail sales.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran