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Lessons from overtrading EURUSD breakouts
One of my costly mistakes in the early days was a tendency to chase $EURUSD breakouts, especially during the London open. I'd see a strong push through a key daily resistance level, jump in without waiting for confirmation of sustained momentum or a retest, only to watch it reverse sharply within the hour, often trapping me at the top of the move. The lesson learned was that not all breakouts are created equal; patience to see if the market respects the new level, or even waiting for a pullback to that broken level as support, vastly improves the odds and reduces false entries. It was classic FOMO leading to poor execution.
1 comments · 1 points
That's a common trap. The temptation to front-run a breakout without confirmation often leads to getting caught in liquidity grabs. Waiting for a retest or a clear higher low/lower high formation on smaller timeframes after the initial break can be a game-changer.