EURUSD- Corrective Recovery Toward OB Liquidity Zones

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EURUSD- Corrective Recovery Toward OB Liquidity ZonesEuro/US DollarFX:EURUSDXAU_Macro_Pulse Fundamental Analysis EURUSD is trading in a sensitive short-term macro environment as traders continue to watch U.S. dollar momentum, Fed expectations, and upcoming economic data from both the U.S. and Eurozone. After a sharp bearish move, the pair is now trading near a lower demand area where short-term buyers may try to defend price. However, this does not mean the broader market has fully reversed. For now, the current setup is better viewed as a corrective recovery toward liquidity and OB zones above, unless price confirms a stronger bullish structure. Technical Analysis On the 1H chart, EURUSD has made a strong bearish displacement below the previous strong support liquidity area around 1.1578 - 1.1589. This breakdown confirms that sellers were in control during the last move. However, price is now reacting around the lower buy zone near 1.1512 - 1.1526. This area is important because it sits near the recent low and may act as a short-term demand zone for a corrective bounce. The first liquidity level to watch is around 1.1539. If price can reclaim this level, the recovery may extend toward the lower FVG zone around 1.1557 - 1.1568. Above that, the next important area is the broken support liquidity zone around 1.1578 - 1.1589, which may now act as a reaction level. The main upside reaction zone is around 1.1601 - 1.1611, where the chart shows an OB area. If buyers continue to hold control, EURUSD may push higher toward the upper OB/FVG zone around 1.1630 - 1.1645. Important Key Levels Current price area: 1.1525 Buy zone: 1.1512 - 1.1526 Invalidation below: 1.1505 Liquidity trigger: 1.1539 Lower FVG zone: 1.1557 - 1.1568 Broken support liquidity: 1.1578 - 1.1589 Main OB reaction zone: 1.1601 - 1.1611 Upper FVG / OB zone: 1.1630 - 1.1645 Trading Scenario Main Buy Scenario Entry: 1.1512 - 1.1526 Stop Loss: 1.1505 Take Profit 1: 1.1539 Take Profit 2: 1.1557 - 1.1568 Take Profit 3: 1.1601 - 1.1611 Take Profit 4: 1.1630 - 1.1645 Buy Condition The preferred setup is to wait for EURUSD to hold the 1.1512 - 1.1526 buy zone. A buy idea becomes more valid if price forms bullish rejection, a long lower wick, bullish engulfing candle, or a clean reclaim above 1.1539. If price breaks and holds above 1.1539, the first recovery target is the FVG around 1.1557 - 1.1568. A stronger corrective move may then aim for the broken support liquidity area around 1.1578 - 1.1589 and the OB zone near 1.1601 - 1.1611. This is a corrective buy setup, not a full long-term bullish reversal yet. The market still needs to reclaim the OB and FVG zones above before buyers can confirm stronger control. Alternative Sell Scenario Entry: 1.1601 - 1.1611 Stop Loss: 1.1648 Take Profit 1: 1.1578 Take Profit 2: 1.1539 Take Profit 3: 1.1512 Sell Condition If EURUSD recovers into the 1.1601 - 1.1611 OB zone and shows bearish rejection, sellers may try to defend this area. A failed breakout, long upper wick, bearish engulfing candle, or rejection below the upper FVG zone would make this sell scenario more valid. If price reaches 1.1630 - 1.1645 and fails to hold above it, this upper zone may also become a stronger rejection area for sellers. Entry Conditions Do not buy only because price is inside the buy zone. Wait for bullish confirmation around 1.1512 - 1.1526. A reclaim above 1.1539 would strengthen the corrective recovery view. The main upside targets are the FVG and OB zones at 1.1557, 1.1601, and 1.1630. If price breaks and holds below 1.1505, the buy setup should be invalidated. Risk management is important because EURUSD can sweep liquidity before choosing direction. Overall, the current view is that EURUSD may create a corrective recovery from the lower buy zone toward the FVG and OB liquidity zones above. As long as 1.1505 holds, buyers may attempt to rebalance price toward 1.1557 - 1.1568, then 1.1601 - 1.1611. Do you share the same view that EURUSD may recover into the OB zones first, or are you waiting for stronger confirmation above 1.1539?