The average value of how many currency units you win for every unit you lose (in the selected currency). This is calculated by dividing the average winning trade by the average losing trade. This field is not a very meaningful value by itself because it does not take into account the ratio of the number of winning vs losing trades, and strategies can have different approaches to profitability. A strategy may trade at every possibility in order to capture many small profits, yet have an average losing trade greater than the average winning trade. The higher this value is, the better, but it should be considered together with the percentage of winning trades and the net profit.
FAQs
Performance Summary: Ratio Avg Win? ›
The average value of how many currency units you win for every unit you lose (in the selected currency). This is calculated by dividing the average winning trade by the average losing trade.
Is a 50% win rate good in forex? ›Now, you will have more profit with a 60% win rate and a high risk-to-reward ratio. If you have a win rate of 50% or less, your winning trades should be higher than your losing trades. If the risk-to-reward is above 1.5, you can be profitable with a 40% win rate.
What is the best win rate ratio? ›Winning 5 out of 10 trades is a 50% win rate. Winning 30 out of 100 is a 30% win rate. Most professional traders have a win rate near 50% or less. They are profitable because they make more on winning trades than they lose on losing trades.
What is the winning rate ratio? ›The win-loss ratio is calculated as the percentage of won opportunities over lost opportunities. For example, if your team had 3 won opportunities and 7 lost opportunities, the Win-Loss Ratio is 42.8% (3 / 7 = 42.8%).
What is the average win rate for traders? ›Your Win Rate tells you how many of your trades are profitable, however this should never be confused with success as a trader. Many traders with high win rates are not profitable. Many studies have shown that many of the worlds most successful traders have win rates of between 40% and 50%.
Is 70% win rate good in trading? ›The backtesting results of Macd/Bollinger Band, Moving Average, and Triple RSI trading strategies have shown promising results with a high win rate. A simple forex trading strategy with a 70%+ win rate can also be effective for traders.
Is a 40% win rate good in trading? ›If a trader is managing risk well and limiting losses on losing trades, a 40% win rate can still lead to profitability. Consistently controlling the size of losing trades is essential for long-term success. Trading Style: Different trading styles may have varying win rates.
What is a healthy win rate? ›Defining a good win rate depends on your company, niche market, and product. However, a rate of over 60% is considered a strong indicator that you have efficient and effective sales strategies. Some industries might have lower success rate expectations because of the size and complexity of the target market.
Is a 20 percent win rate good? ›On average, a win rate between 20% and 50% is often considered solid.
What trading strategy has the highest win rate? ›Overall, the strategy with the best results was the Reversal Candle Strategy. Both the 15-minute and 30-minute time frames performed well, but the 30-minute was the overall winner outperforming the asset by a whopping +18.14% over the time period we tested.
What is a good rate ratio? ›
That is, a rate ratio of 1.0 indicates equal rates in the two groups, a rate ratio greater than 1.0 indicates an increased risk for the group in the numerator, and a rate ratio less than 1.0 indicates a decreased risk for the group in the numerator.
How to get the average win rate? ›Calculate your sales win rate by dividing the number of successful sales by the total number of opportunities. Then, multiply the result by 100 to get a percentage. You can also calculate your average sales win rate based on amount/revenue.
How to do a win ratio? ›The win ratio is the total number of winners divided by the total numbers of losers.
What is the average trader performance? ›The average individual investor underperforms a market index by 1.5% per year. Active traders underperform by 6.5% annually. Day traders with strong past performance go on to earn strong returns in the future. Though only about 1% of all day traders are able to predictably profit net of fees.
What is the winning trade ratio? ›A straightforward metric, Win% is the ratio of successful trades to the total trades made, ignoring those that break even.
What is a good risk-reward ratio? ›In many cases, market strategists find the ideal risk/reward ratio for their investments to be approximately 1:3, or three units of expected return for every one unit of additional risk. Investors can manage risk/reward more directly through the use of stop-loss orders and derivatives such as put options.
Is 50 win rate good? ›Defining a good win rate depends on your company, niche market, and product. However, a rate of over 60% is considered a strong indicator that you have efficient and effective sales strategies. Some industries might have lower success rate expectations because of the size and complexity of the target market.
What is a 50 percent win rate strategy? ›A trading strategy with a 50% win rate can still make a profit if the gains from winning trades are larger than the losses from losing trades. This is often achieved through the use of a positive expected return on the winning trades.
Is 50 accuracy good in trading? ›Here's a simple math behind the accuracy and R:R which would give you a perfect understanding of how profitability is achieved in the real world. If your R:R is a mere 1:1 (which is the bare minimum one should have) then you only need a 50%+ accuracy to be a profitable trader.