Angie · learn
Win rate
The share of trades that made money. High on its own means little, since many small wins and one catastrophic loss still lose.
A fuller explanation of this one is still being written. The definition above is the short answer.
See also
- Profit factor — How many dollars the winners made for every dollar the losers cost. Below 1.0 the strategy loses money regardless of how often it is right.
- Backtest — Running a set of rules over history to see what they would have done. It shows what did happen, never what will, and it flatters any rule tuned on the same data.
Educational content, not investment advice. Angie explains how a valuation is built so you can judge it yourself. What you do with that is your call.
