USDCAD extends its recovery off post.........>

CANADA: USDCAD extends its recovery off post Canadian CPI lows of C$1.3275 with

a move back through C$1.3350. More importantly, yesterday's close back above the

50 & 100-dma's could provide fresh bullish signals. This brings the 61.8%

retracement level of C$1.3451-1.3275 & triangle top back into view at

C$1.3384/99.

- CADJPY eased to Y83.74 and rests on its short-term channel base. A downside

break of Y83.64 opens the 100-dma & 38.2% fibo of Y81.63-83.87 at Y83.10/01.

- EURCAD holds above up trendline support off the April lows with the recovery

approaching C$1.5100. A topside break of the handle & 200-dma (C$1.5106), brings

the 100-dma & 38.2% retracement of the Jan - Feb fall back into view at

C$1.5131/74.

- Canadian Retail Sales are scheduled for release at 1230GMT. RBC economists

forecast nominal retail sales rose 0.5% m/m in February, with this entirely due

to a 3% rise in gas prices and an expected 2% bump in auto sales.