• EUR/CAD edged lower on Tuesday as investors assessed a mixed economic data and its implications for interest rate expectations.
• Eurozone inflation edged up to 2.2% in November from 2.1% in October, coming in slightly above forecasts as higher services prices and a smaller drop in energy costs lifted the headline rate. Core inflation, however, held at 2.4%, just below expectations of 2.5%.
• The unemployment rate in the Eurozone stood at 6.4% in October, unchanged from September, according to a report by Eurostat on Tuesday.
• Meanwhile ECB’s Joachim Nagel said euro zone inflation is effectively at the 2% goal and will stay near that level even with higher U.S. tariff costs.
• Immediate resistance is located at 1.6252(SMA 20), any close above will push the pair towards 1.6295 (38.2%fib).
• Support is seen at 1.6193(61.8%fib) and break below could take the pair towards 1.6153(Lower BB).
Recommendation: Good to buy around 1.6190 , with stop loss of 1.6120 and target price of 1.6270
