The Canadian Dollar (CAD) started doing well against the Japanese Yen (JPY) since the last week of June 2019. The pair is being traded around 82.97 with an anticipated bullish trend after printing a lower high during the last downside move. It is therefore quite likely that the pair will continue moving upward amid retail sales excluding autos release.
The Statistics Canada releases a retail sales data on a month to month basis that demonstrates all products sold by retailers dependent on examining of retail locations of various sorts and sizes with the exception of the vehicle segment. The retail deals file is regularly taken as a marker of purchaser certainty. It demonstrates the exhibition of the retail area for the time being. As a rule, the positive monetary development foresees bullish developments for the CAD.
It is to be noted that the retail sales data is considered as a significant indicator of the country’s business condition, hence suggests possible inflation of deflation quite remarkably. However, the data does not include automobiles.
Similarly, the BOC consumer price index in Canada has also outclassed the economists’ consensus by 09 points by ending on 2.1% in May, as compared to 1.5%, the month before.
Trading CADJPY can be a good idea over a short period of time. However, the chances are good for traders planning to trade the pair for a long term position.