Price broke the high. Would you chase it? This one failed

Price just broke the high. Would you buy right now?

Lock in your answer. Then watch what happened next.

This is the pound on the four-hour chart. For days, it kept stalling just under 1.3263.

Then this candle closed above it, at 1.3274. Breakout?

Check one: did it close above the high? Yes, but only by about ten pips.

Check two: did the next candle hold above the level? You don't know yet.

Chase here, and your stop sits just under the old high. One bad candle takes you out.

Check three: a real breakout holds. Wait for the next close to stay above, or a retest that holds.

So the answer: don't chase. Wait one more candle.

Here's what happened. The next candle closed at 1.3261, back under the high.

That's a failed breakout. The candle after that closed at its low, 1.3203.

Four hours later, the pound hit 1.3136.

Anyone who chased at 1.3274 got stopped out fast.

Waiting cost nothing. The close back under the high told you to skip it.

Save this. Close above the high: step one. Next candle holds: real breakout. Closes back under: failed, skip it.

Your turn. Price closes just above a high, and the next candle turns red. Chase, wait, or skip? Comment below.

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