NY-Session Multi-Timeframe Strategy: 1H Liquidity Sweep & 5M 50% Retest

​NY-Session Multi-Timeframe Strategy: 1H Liquidity Sweep & 5M 50% Retest
​Executive Summary
​This quantitative price-action and institutional order-flow strategy captures high-probability bullish reversal opportunities during the New York Session. By combining High-Timeframe (1-Hour) Demand & Supply Zones with Low-Timeframe (5-Minute) liquidity sweeps, Bullish Engulfing confirmations, and a 50% body retest entry, this setup achieves an exceptional Risk-to-Reward Ratio (RRR) of 1:5 to 1:6+.
​Strategy Core Mechanics
​Session Specificity (New York Session): Executed exclusively during the NY Session to leverage peak market volatility, institutional volume, and active bank order flows while eliminating low-volume Asian session noise.
​Higher Timeframe Context (1-Hour): Identifies institutional Demand Zones—where aggressive buying previously originated—and key Supply Zones for target exits.
​Lower Timeframe Execution (5-Minute): Provides precise entry confirmation following sell-side liquidity sweeps below structural lows.
​Step-by-Step Execution Protocol
​Higher Timeframe Mapping (1-Hour Chart):
​Identify key 1-Hour Demand Zones where price has shown strong upward pushes in the past.
​Mark the opposing 1-Hour Supply Zone where the recent bearish impulse originated.
​Session Alignment & Liquidity Check (5-Minute Chart during NY Session):
​Filter all setups to occur strictly within the New York Trading Session.
​Switch to the 5-Minute chart as price approaches the 1-Hour Demand Zone.
​Monitor for a liquidity sweep—where price breaks or sweeps below the recent structural low to purge retail stop losses.
​Pattern Confirmation (5-Minute Chart):
​Observe structural reversal signals right after the liquidity grab:
​A Bullish Hammer showing aggressive lower-wick rejection.
​A strong Bullish Engulfing Candle, confirming momentum shift back to institutional buyers.
​Entry Execution:
​Wait for a minor retracement instead of chasing the close of the engulfing candle.
​Entry Trigger: Set a limit order or market entry when price retraces to 50% of the Bullish Engulfing candle's body.
​Risk & Trade Management:
​Stop Loss (SL): Placed strictly below the lowest wick of the newly formed 5-Minute structural low (the sweep point).
​Take Profit (TP): Target the low of the first 5-Minute candle inside the opposing 1-Hour Supply Zone.
​Risk-to-Reward Ratio: Typically ranges between 1:5 and 1:6+.
​Position Sizing: Risk a fixed percentage (1% to 2%) of total account equity per trade.
​Strategic Advantages
​High Institutional Confluence: Operating during the NY session ensures genuine volume behind the liquidity sweeps and engulfing reversals.
​Tighter Stop Losses: Entering on the 50% body retest minimizes drawdowns and significantly expands the reward potential.
​False-Break Filter: Waiting for the liquidity sweep before entering protects against institutional stop-hunting.