You're right.
Think of FIFO when cars go through a tunnel. The first car to go into the tunnel will be the first to go the other way.
Think of the LRU cache as a garage cleanup. You will throw away items that you have not used for a long time, and keep those that you often use. The evolution of this algorithm (an improvement for a simple LRU) is to discard elements that have not been used for a long time, and they should not be replaced if you need them in the end.
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