The young girl treated in Stanton Territorial Hospital with wounds to hands and chest, and police say she is expected to make a full recovery.
"She is progressing very well," said RCMP Sgt. Steve McVarnock, who expected the girl to be released from hospital soon.
McVarnock said the girl was fortunate the 12-inch knife, which police found bloodied at the crime scene, didn't puncture her heart or lungs.
Police aren't discussing the motive for the attack, but McVarnock said the girl's mother will undergo a psychological evaluation.
The 36-year-old woman, who was given an absolute discharge for assault seven years ago, is being held in RCMP cells.
Police say the girl has family in town, including a father who is currently involved in a civil case with the girl's mother. Details of the case were not available at press time.
According to police, the girl was visiting the home of another family member on 45th Street when she was stabbed several times while in the bathroom.
Police say other family members heard the skirmish and separated the mother and the daughter.
The woman made a brief appearance in territorial court Monday and was remanded into police custody until May 11.