(Excuse us while we do a dance and crack open some champagne).
The former couple, who split up in September because of the struggles of a long-distance relationship, were seen HAND HOLDING this weekend.
That's not something we do with most of our ex-boyfriends so we're pretty sure there's more to it than just friends. Well we hope so anyway.
Danielle flew over to New York to be with one fifth of One Direction ahead of their Madison Square Garden gig this weekend.
Apparently she joined WAGS Eleanor Calder - who's dating Louis Tomlinson - and Little Mix's Perrie Edwards, who is Zayn Malik's girlfriend.
And the pair looked all cute as they shopped together in the Big Apple.
Not just any old shop, mind, the couple visited Stern jewellery store in the city *raises eyebrow*.
Danielle looked glam in a pair of dark red leather trousers and a leopard print coat, while Leon wore a tee with HATE written across his chest.
Perhaps he was aiming it at those who spread rumours he and X Factor star Leona Lewis were dating.
Soon after Liam took to Twitter to say that it was all rubbish, friends have reportedly confessed that Liam and Danielle really "miss each other".
A source told The Sun newspaper: 'Liam and Danielle were both very upset when the relationship ended.
'Most of the trouble was down to not being able to spend enough time together. They really miss each other."
[Related story: Perrie Edwards talks Zayn Malik wedding, we buy a hat]
[Related story: Harry Styles and Taylor Swift have a date at the Zoo!]
[Related story: Liam Payne slams rumours he and Leona Lewis are dating]
Liam didn't refer to Danielle on his Twitter but did take to the social networking site to post: "Just been to the Empire State Building had a great time except...
"The security detail in particular the senior security supervisor was arrogant, unproffesional and extreamly disrespectful to my family @EmpireStateBldg #TheresAlwaysTimeForManors"
Meanwhile fellow 1D bandmate Harry Styles had his own romantic day in New York - hitting the Zoo with country star Taylor Swift.
Love is clearly in the NYC air...