August 15, 2025
By
SMB Capital
This data-driven strategy uses the size of the NY AM and PM ranges to generate bias for the following Tokyo session. If the PM range is smaller, continuation is more likely; if larger, expect reversal. It’s a probabilistic model backed by observed market behavior—particularly useful for XAUUSD and overnight sessions when price tends to echo previous NY dynamics.
After determining bias, you look for a sweep of the PM range extreme in the opposite direction—this acts as a manipulation phase. Entry is then based on the formation of an inverse fair value gap (iFVG), signaling a likely reversal back into trend. Stops go at the most recent swing, and TP aims for at least 2R, typically using the opposite end of the NY PM range. The strategy encourages high-quality entries only, with detailed filters like FVG size, range context, and limit vs. market execution logic.