CAD Hit 31-yr High 0.9940 vs Dollar by Yan Xu

The Canadian dollar touched a 31-year-high at 0.9940 versus the dollar and it gave back some of its gains after a government report showed retail sales fell unexpectedly for a second month. Canada retail sales are expected to remain unchanged in July, after a 0.9% drop in June. Excluding food and energy, core retail sales may rose 0.3% versus a 0.3% decline in the previous month.

EURUSD will face interim resistance at 1.41, followed by 1.4120 and 1.4150. Additional ceilings will emerge at 1.4180, backed by 1.42. Support starts at 1.4050, backed by 1.40, 1.3980 and 1.3950. Subsequent floors are eyed at 1.39.

USDJPY encounters interim resistance at 115.80, backed by 116 and 116.30. Subsequent ceilings will emerge at 116.50, followed by 116.80 and 117. On the downside, support begins at 115.30 and 115, followed by 114.70. Additional floors are eyed at 114.30, backed by 114 and 113.70.

GBPUSD encounters interim resistance at 2.02, backed by 2.0220 and 2.0250. Subsequent ceilings will emerge at 2.0270, followed by 2.03 and 2.0320. On the downside, support begins at 2.0170, followed by 2.0150 and 2.0120. Additional floors are eyed at 2.01, backed by 2.0080 and 2.0050.