EURUSD Friday Setup

EURUSD Analysis – Friday, December 19

Welcome traders!
We analyze the market every single day to stay aligned with clean structure, liquidity, and high-probability setups.

Let’s dive into today’s EURUSD outlook

Market Overview

As discussed in the previous analysis, EURUSD remains bullish on the weekly, daily, and lower timeframes.
However, after the major buy-side liquidity sweep from above, the market is now in a sensitive phase where a deep retracement is both logical and healthy before the next bullish expansion.

This behavior is very common in strong trends:
liquidity is taken → price rebalances → trend continues.

I have marked key levels, POI, and OBS zones clearly on the chart to guide today’s plan.

Today’s Trading Scenarios
Scenario 1 – Liquidity Below → POI → Bullish Continuation (Preferred)

Price may:

.First sweep sell-side liquidity below,

.Then move toward the POI,

.From there, push higher, sweep Asia session high,

.And continue the main bearish trend.

This scenario reflects a classic SMC retracement → expansion model after buy-side liquidity is taken.

Scenario 2 – OBS Reaction → POI → Continuation

Alternatively, price may:

First tap into the OBS,

Then retrace toward the POI,

Sweep nearby liquidity,

And from there resume bearish movement.

This allows for a deeper discount entry before continuation.

Risk & Execution Notes

.The market is never 100% certain

.Deep retracements are normal after liquidity grabs

.Always wait for confirmation before entry

.Apply strict risk management, especially near key levels