The GBPCAD pair failed to move higher and had clearly showed that it wanted to continue moving lower.
On January 20 2026 GBPCAD tapped into a supply and FVG zone (Pink line/Pink box) and I entered the SELL trade when price reacted lower from the zone.
Added confirmation was a bearish divergence (Red) also formed in the supply and FVG zone.
Sell trade entered at 1.8616 and stop loss at 1.8661 with targets at the 1.5R 1.85485 – 2R 1.8526 levels.
GBPCAD 1 Hour Chart January 20 2026 (Trade entry)
GBPCAD 1 Hour Chart January 21 2026 (Targets hit/Trade closed)
GBPCAD moves lower and hits 2R target hit at 1.8526 from 1.8616 and I closed sell trade for +90 pips (+2% gain risking 1% on every trade)
A trader should always have multiple strategies all lined up before entering a trade. Never trade off one simple strategy. When multiple strategies all line up it allows a trader to see a clearer trade setup. We at EWF never say we are always right. No market service provider can forecast markets with 100% accuracy. Only thing we at EWF 100%, is that we are RIGHT more than we are WRONG.
Of course, like any strategy/technique, there will be times when the strategy/technique fails so proper money/risk management should always be used on every trade. Hope you enjoyed this article and follow me on social media for updates and questions> @AidanFX
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