Usman Salis
EUR/USD has hit a make-or-break moment where smart money flows and economic data will decide what happens next. The chart shows consolidation after recent selling, but there's a strong setup brewing for a liquidity sweep followed by a potential push higher. With a fresh 4-hour candle forming and PPI numbers dropping soon, this could get interesting fast.
Key Levels That Matter:
- Current battleground: Trading around 1.1706, just above recent swing lows that have already been cleared
- Liquidity targets: Bulls are eyeing 1.1762 and 1.1780 - classic zones where stops are sitting
- The purge setup: Chart shows "L. Purged" where previous lows got swept - textbook stop-hunting behavior
- Next move: A quick dip to grab more sell-side liquidity could fuel a sharp reversal higher
This whole setup screams what Sir Hisham often talks about - smart money clearing out the weak hands before making their real move. It's classic market behavior: shake out the stops, then rocket in the opposite direction.
The timing couldn't be better with PPI data hitting the wires. If inflation runs hot, the dollar might spike and trigger that liquidity sweep lower first. But if the numbers disappoint, we could see euro strength push straight through to those 1.1762-1.1780 targets without looking back.
What really matters now is that 9 AM H4 candle close Sir Hisham flagged. Break and hold above 1.1762 means the buyers have taken control. Slip below 1.1700 and we're probably heading toward 1.1650. Simple as that.
The bottom line here is patience pays. EUR/USD is setting up for something big, but liquidity comes first, confirmation second. Wait for the sweep, watch for the reversal, then ride the wave. That's how you catch the real moves in this game.
Usman Salis
