Editable areas/blocks drop down in edit mode

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I have noticed that when I mouseover an editable area to add a block or edit existing information that the editable area has dropped at 10px down from the red dotted areas indicating editable content- when they should be exactly within the red editable area.

My body tag has margin set to 0 and padding set to 0.

How can I resolve this so it lines up correctly?

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trixiemay