📌 Overview
This trade was executed during the New York session around 12:00 PM NY time, combining higher-timeframe bias with lower-timeframe execution.
The setup aligned:
- H1 Fair Value Gap (FVG)
- M5 Inverse Fair Value Gap (IFVG)
- Bearish market structure
- Premium pricing
- 1:2 Risk-to-Reward target
The objective was to join the prevailing bearish trend after price retraced into an area of inefficiency.
🧭 Market Context
Gold had been trading lower throughout the session, creating a clear bearish structure with lower highs and lower lows.
Following a strong bearish displacement, price retraced into a higher-timeframe H1 Fair Value Gap, providing a premium area for potential short positions.
Rather than entering immediately, I waited for lower-timeframe confirmation.
🎯 Trade Bias
The bearish bias was based on:
- Strong bearish momentum
- Price trading inside the H1 FVG
- Market remaining below previous highs
- Continuation structure intact
The expectation was for sellers to defend the imbalance and continue targeting lower liquidity.
⚙️ Execution Model
The trade followed a top-down approach:
H1 FVG → M5 IFVG → Continuation
Entry conditions:
- Price retraced into the H1 FVG
- M5 formed an IFVG during the pullback
- Sellers defended the zone
- Bearish continuation confirmed
This provided a low-risk entry aligned with the higher-timeframe narrative.
⏰ Timing & Session
The setup occurred during the New York session at approximately 12:00 PM NY time.
While many traders focus on the 10:00 AM window, continuation setups can often develop later in the session once the primary direction has been established.
The retracement into the FVG provided the opportunity to participate without chasing the move.
📍 Entry & Risk Management
Entry
- Retracement into H1 Fair Value Gap
- M5 IFVG confirmation
- Bearish rejection from premium pricing
Stop Loss
- Above the M5 IFVG and local swing high
Take Profit
- Targeting sell-side liquidity below
- Planned 1:2 Risk-to-Reward
🚀 Trade Outcome
Price respected both the H1 FVG and M5 IFVG, resulting in a clean bearish continuation.
The move delivered:
✅ Higher timeframe confluence
✅ Lower timeframe confirmation
✅ Trend continuation entry
✅ 1:2 RR achieved
🧠 Trade Review
What Went Well
- Strong alignment between H1 and M5
- Patient entry after retracement
- Clear market structure
- Entry taken from premium pricing
Possible Improvements
- Refine entries on M1 for tighter risk
- Consider partial profit-taking at intermediate liquidity levels
🔑 Key Takeaway
One of the highest-probability continuation setups occurs when:
Higher-timeframe FVG aligns with lower-timeframe IFVG.
The H1 FVG provides directional bias, while the M5 IFVG offers precise execution.
Waiting for both conditions helps avoid low-quality entries and improves overall trade efficiency.
📌 Conclusion
This was a clean New York session sell continuation trade where the H1 Fair Value Gap provided the directional framework and the M5 IFVG delivered the execution trigger. The combination offered a high-probability setup that aligned with prevailing bearish order flow and successfully achieved the planned 1:2 risk-to-reward target.
⚠️ Disclaimer: This content is for educational purposes only and does not constitute financial advice. Trading involves risk, and past performance does not guarantee future results.
I currently use the prop firm below for my trading and evaluations.
It aligns well with my NY session approach and execution style.
If you want to explore it further, you can check it below:
FundingPips — Prop Firm
Used in my live trading & evaluations
Used for analysis, structure, and execution planning
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