The percentage of trades that result in a profit.
A trader’s win rate helps determine if their strategy is effective. A lower win rate can still be profitable if the average win is larger than the average loss, but a very low win rate often signals poor trade selection.
If a trader takes 100 trades and 55 of them are profitable, their win rate is 55%. If their average dollar win is $100 and their average dollar loss is $50, they remain profitable despite not winning every trade.
The average profit in dollars a trader earns on a winning trade. It measures profitability per successful trade.
The average loss in dollars a trader incurs on a losing trade. It reflects the risk exposure per unsuccessful trade.
A measure of profitability, calculated as the ratio of total profits to total losses. A profit factor above 1 indicates a profitable strategy.
The total count of all trades executed within a specified period (usually a month).
The number of calendar days during which trades were placed. Used to evaluate trader consistency and activity.