🔍 Market Context & Structural Narrative (MMC Style)
The EURGBP pair is currently displaying a textbook MMC structural evolution, transitioning from a bearish trend into a potential bullish leg driven by curve dynamics and trap-break logic.
🔨 Phase 1: Bearish Channel & Trap Formation
The market initially moved within a clearly defined descending channel, which acted as a trap for reactive sellers. Each lower high and lower low within the channel created a perception of sustained bearishness, luring breakout traders and late sellers into short positions.
✅ Key Insight:
This trap zone represents the first step in MMC logic — create a visible structure, generate bias, then prepare for inversion.
🌙 Phase 2: Curve Support – Psychological Accumulation
Around the base of the channel, the market began forming a rounded bottom or curve support. This is a signature MMC accumulation pattern, where market makers gradually absorb sell orders and build long positions without triggering immediate attention.
The curve support has the following implications:
Represents passive accumulation.
Suggests waning bearish pressure.
Builds bullish pressure subtly, often missed by retail traders.
🧠 MMC Mindset Tip:
Curved price action isn't just technical — it's psychological. It represents a controlled shift in sentiment, not an impulsive change, which is what makes it so powerful.
💥 Phase 3: Break of Structure (BOS) – Confirmation of Strength
Price breaks out of both the descending channel and the curved base, leading to a Major Break of Structure (BOS). This BOS is critical, as it confirms the invalidity of the previous bearish narrative and activates a new bullish leg.
📌 This BOS is more than a line — it’s a wall of liquidity getting broken. Price has now closed above key swing highs, which suggests:
Smart money is in control.
Trend shift is validated.
New demand zone created below.
🎯 Projection: The Path to the Next Reversal Zone (NRZ)
Following the breakout, price is projected to:
Possibly retest the breakout level (structure retest) aligned with the curve support — a healthy bullish pullback.
Then move higher towards the Next Reversal Zone (NRZ), which is your defined target area.
📌 NRZ Insight:
This zone is where the market is likely to face:
High liquidity.
Strong previous supply.
Potential profit-taking by early bulls.
Thus, this becomes the make-or-break zone — price either:
Reverses sharply,
Or breaks through and continues the bull rally.
⚠️ Multiple Scenarios Based on MMC Conditions
✅ Scenario 1: Retest & Bounce (Ideal MMC Setup)
Price pulls back to retest the breakout level or the curve support.
Shows bullish confirmation (e.g., pin bar, bullish engulfing).
Targets the NRZ above 0.8700.
❌ Scenario 2: Failed Retest – Fakeout Trap
Price breaks below the curve and structure again.
Suggests that the BOS was a false breakout.
Could re-enter the previous bearish channel structure.
🔄 Scenario 3: Direct Rally Without Retest
Strong momentum buyers push price directly to NRZ.
Wait for reaction at NRZ — could trigger a reversal or continuation depending on price behavior.
🧠 MMC Strategic Takeaways:
Trap → Break → Shift is the psychological framework in play.
The curve is not just support — it's evidence of silent accumulation.
The NRZ isn’t just resistance — it's the battleground where MM logic resolves.
🔐 Trading Insights (Optional Entry Ideas):
Entry: On bullish confirmation near 0.8660–0.8665 (curve/structure support).
SL: Below curve base (e.g., 0.8640).
TP: Near or slightly below NRZ (0.8700–0.8705), partial profits or full exit.
The EURGBP pair is currently displaying a textbook MMC structural evolution, transitioning from a bearish trend into a potential bullish leg driven by curve dynamics and trap-break logic.
🔨 Phase 1: Bearish Channel & Trap Formation
The market initially moved within a clearly defined descending channel, which acted as a trap for reactive sellers. Each lower high and lower low within the channel created a perception of sustained bearishness, luring breakout traders and late sellers into short positions.
✅ Key Insight:
This trap zone represents the first step in MMC logic — create a visible structure, generate bias, then prepare for inversion.
🌙 Phase 2: Curve Support – Psychological Accumulation
Around the base of the channel, the market began forming a rounded bottom or curve support. This is a signature MMC accumulation pattern, where market makers gradually absorb sell orders and build long positions without triggering immediate attention.
The curve support has the following implications:
Represents passive accumulation.
Suggests waning bearish pressure.
Builds bullish pressure subtly, often missed by retail traders.
🧠 MMC Mindset Tip:
Curved price action isn't just technical — it's psychological. It represents a controlled shift in sentiment, not an impulsive change, which is what makes it so powerful.
💥 Phase 3: Break of Structure (BOS) – Confirmation of Strength
Price breaks out of both the descending channel and the curved base, leading to a Major Break of Structure (BOS). This BOS is critical, as it confirms the invalidity of the previous bearish narrative and activates a new bullish leg.
📌 This BOS is more than a line — it’s a wall of liquidity getting broken. Price has now closed above key swing highs, which suggests:
Smart money is in control.
Trend shift is validated.
New demand zone created below.
🎯 Projection: The Path to the Next Reversal Zone (NRZ)
Following the breakout, price is projected to:
Possibly retest the breakout level (structure retest) aligned with the curve support — a healthy bullish pullback.
Then move higher towards the Next Reversal Zone (NRZ), which is your defined target area.
📌 NRZ Insight:
This zone is where the market is likely to face:
High liquidity.
Strong previous supply.
Potential profit-taking by early bulls.
Thus, this becomes the make-or-break zone — price either:
Reverses sharply,
Or breaks through and continues the bull rally.
⚠️ Multiple Scenarios Based on MMC Conditions
✅ Scenario 1: Retest & Bounce (Ideal MMC Setup)
Price pulls back to retest the breakout level or the curve support.
Shows bullish confirmation (e.g., pin bar, bullish engulfing).
Targets the NRZ above 0.8700.
❌ Scenario 2: Failed Retest – Fakeout Trap
Price breaks below the curve and structure again.
Suggests that the BOS was a false breakout.
Could re-enter the previous bearish channel structure.
🔄 Scenario 3: Direct Rally Without Retest
Strong momentum buyers push price directly to NRZ.
Wait for reaction at NRZ — could trigger a reversal or continuation depending on price behavior.
🧠 MMC Strategic Takeaways:
Trap → Break → Shift is the psychological framework in play.
The curve is not just support — it's evidence of silent accumulation.
The NRZ isn’t just resistance — it's the battleground where MM logic resolves.
🔐 Trading Insights (Optional Entry Ideas):
Entry: On bullish confirmation near 0.8660–0.8665 (curve/structure support).
SL: Below curve base (e.g., 0.8640).
TP: Near or slightly below NRZ (0.8700–0.8705), partial profits or full exit.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
For Daily Trade Setups and Forecast: 📈 t.me/xauusdoptimizer
Premium Signals Fr33: 💯 t.me/xauusdoptimizer
🥰🥳🤩
Premium Signals Fr33: 💯 t.me/xauusdoptimizer
🥰🥳🤩
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.