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• EUR/CAD edged lower on Tuesday as euro was weighed down by political uncertainty in France after Prime Minister Francois Bayrou was ousted in a no-confidence vote.
• France’s parliament ousted the government on Monday over its proposals to control the country’s mounting national debt, plunging the eurozone’s second-largest economy into a deeper political crisis.
• President Emmanuel Macron, facing opposition demands to dissolve parliament and resign, is instead set to search for his fifth prime minister in under two years.
• Looking ahead, investors will shift their attention to an interest rate verdict by the European central bank and the inflation data from the United States.
• Immediate resistance is located at 1.6261 (23.6%fib), any close above will push the pair towards 1.6129(Higher BB).
• Support is seen at 1.6183(Sep 8th low) and break below could take the pair towards 1.6119(38.2%fib).
Recommendation: Good to buy around 1.6180 , with stop loss of 1.6050 and target price of 1.6270
