FxWirePro: EUR/CAD hits two week low, scope for further downside

• EUR/CAD declined to two week low on Tuesday as  euro remained on a fragile footing following the resignation of France's prime minister on Monday. 

• Outgoing French Prime Minister Sebastien Lecornu two days of last-ditch talks a day after his unexpected resignation, aiming to navigate the country’s political crisis.

• President Macron had tasked him on Monday with leading the discussions, setting a deadline for Wednesday evening.

• France’s President Emmanuel Macron faced increasing pressure on Tuesday to either resign or call a snap parliamentary election to resolve the political turmoil that has led to the resignation of five prime ministers in under two years.

• France is now expected to miss the deadline for presenting its 2026 budget bill, forcing lawmakers to pass temporary emergency legislation to authorize spending from January 1 until the full budget is finalized.

 •  Immediate resistance is located at 1.6338(Daily high), any close above will push the pair towards 1.6387 (23.6%fib).

•  Support is seen at 1.6240 (38.2%fib) and break below could take the pair towards 1.6159(Lower BB).

Recommendation: Good to sell  around 1.6300 , with stop loss of 1.6380  and target price of 1.6220