Definition
Win rate alone says little. A strategy can win 70% of the time and still lose money if the losses are much bigger than the wins, and the reverse is also true.
Formula
Win rate = winning trades / total trades
Academy › Glossary › Risk & Psychology
The percentage of trades that end in a profit.
Win rate alone says little. A strategy can win 70% of the time and still lose money if the losses are much bigger than the wins, and the reverse is also true.
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