A quick follow up on yesterday’s post.
I signaled the importance of a vertical development on regards to price action. It is also important to point out that -according to what I have explained in previous posts- these type of areas are characterized for lack of complete price discovery, and are subject to be revisited at a later time. Therefore, i would not be surprised for the Euro to have a partial retracement towards the 1.2918-1.2894 (the symmetrical profile indicates another important area, as noted previously), followed by 1.2844-1.2880.
Well, the retracement did not get that far back, but found buyers in the 1.2937-1.2957, literally to the tick (as shown on the chart below). The point here is that these areas have a meaning. They are not random and usually tend to be respected in a quite accurate manner.
I have updated the areas to keep in mind, according to the recent moves. To the upside, currently:
Both are noted within dashed boxes, showing that these are areas that have no completely formed
Areas of previous buying interest
1.2918-1.2894 (stronger area)