What's the longest flat stretch you've survived?
Months of breakeven — win some, lose some, nothing accumulates — test a trader more than losses do. The temptation is to change what's working, or to force trades the strategy doesn't produce.
How did you get through?
- how long the stretch lasted
- what you did (or didn't) change
- what you'd tell someone in one now
The expectancy guide explains flat stretches statistically.
Background: Risk-reward ratio, win rate and expectancy: the maths behind a trading edge
A high win rate can still lose money. See how win rate and risk-reward combine into expectancy, with break-even win rates and worked examples.
What is a good risk-reward ratio in forex?
There isn't one right ratio. What matters is expectancy, the win rate and ratio together. A 1:2 ratio breaks even at about 33% winners before costs, while a 1:1 ratio needs 50%.
How do you calculate trading expectancy?
Multiply the win rate by the average win and subtract the loss rate multiplied by the average loss. Measuring wins and losses in multiples of the amount risked (R) makes the result easy to compare.
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