What's your definition of an edge, exactly?

Ask ten traders what an edge is and you'll get ten answers: a win rate, a repeatable pattern, an information advantage, a risk model. The definition matters because it decides what you search for.

What's your definition of an edge, exactly? — risk-reward diagram
A risk-reward ratio of 1 to 2

Define yours:

  • what an edge means to you
  • how you know when you have one
  • the false edges you've chased
What's your definition of an edge, exactly? — bid-ask spread diagram
The bid-ask spread on a currency pair

The expectancy guide gives the statistical definition.

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