The EU broke the 1.3980 level finally after several attempts throughout the day. Does this mean you jump in so you don't MISS THE MOVE? Absolutely not! 70% of breakouts fail so it is critical to wait for a level that is broken to hold as support. Notice the M30 chart where price breaks that level and gains strong momentum as this level is violated. The reason this happens is because some people are looking to buy there but many short sellers have their stops just above that level. Waiting for the retest is giving you a level of insurance and helps improve you risk reward ratio.
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