Win rate versus profit. What’s best?
In this video we look at success rates and profits to see how they correlate in trading…
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In this video we look at success rates and profits to see how they correlate in trading…
You must be logged in to post a comment.
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Correct – it makes absolutely no difference in terms of long term change to your account balance. What you are describing is called “expectation” in mathematics. It equals probability of winning X gain minus probability of losing X loss. This solely determines your overall success. As you say you can’t alter the probabilities without changing the gain/loss figures so it doesn’t matter whether you do a hundred 1 minute £2 profit trades in a day or 1 £200 profit trade. The only important thing is to make sure you use a stop and don’t face gamblers ruin.