Win rate

The percentage of trades that are profitable. On its own it says nothing about whether a method makes money.

Win rate describes frequency, never magnitude. A method winning 70% of the time with +1R winners and −3R losers has an expectancy of −0.2R and loses money.

Every reward-to-risk ratio implies a breakeven win rate: above 50% at 1:1, above 33% at 1:2, above 25% at 1:3.

Taught in

Win Rate Is Not the PointMeasuring Your Edge

Why the number everyone quotes says almost nothing on its own — and what to look at instead.

Also covered in that lesson

R-multipleA result expressed as a multiple of the amount risked. Risking 1% and making 2% is +2R, whatever the account size.Breakeven win rateThe win rate needed to break even at a given reward-to-risk ratio — 50% at 1:1, 33% at 1:2, 25% at 1:3.