Skip to content
PF > 3.0 – 🟢🟢 Excellent: high-performing systemPF 2.0–2.99 – 🟢 Very GoodPF 1.5–1.99 – 🟢 GoodPF 1.0–1.49 – 🟡 AveragePF = 1.0 – ⚪ NeutralPF < 1.0 – 🔴 Poor: you’re losing more than you gain
Trading Metrics Glossary & Guide (for Users)
This document provides a clear explanation of the key performance indicators and terms used in this trading system. It is designed to help you interpret your data and make more informed trading decisions.
1. Profit Factor (PF)
Formula: Total Profits / Total Losses
What it tells you: How much you earn for every unit of currency you risk.
Interpretation:
2. Win Rate
Formula: Number of Winning Trades / Total Number of Trades
What it tells you: How often you win.
🔎 Note: A high win rate doesn't always mean profitability. Combine it with PF.
3. Cumulative Profit
Formula: Sum of all gains (positive and negative) over time
What it tells you: The total net gain or loss from the beginning.
📈 Used for tracking your performance evolution.
4. Cumulative Win
Formula: Sum of all gains from winning trades only
What it tells you: The gross earnings from your successful trades.
5. Cumulative Loss
Formula: Sum of all losses from losing trades only
What it tells you: The total amount you have lost (displayed as a negative number).
6. Monthly Profit
Formula: Sum of all gains in a specific month
What it tells you: How much you're making (or losing) month by month.
7. Efficiency
Formula: Custom score based on Entry and Exit quality
What it tells you: How well you execute trades in terms of timing and decision-making.
Efficiency is not just about whether a trade ends positive — it's about whether your entry and exit were aligned with your strategy.
✅ Scores are assigned based on combinations:
Top
Top
90%
Top
No good
60%
Top
Very bad
40%
Ok
Top
85%
Ok
Ok
75%
Ok
No good
50%
Ok
Very bad
30%
No good
Top
50%
No good
Ok
40%
No good
No good
20%
No good
Very bad
10%
Very bad
Top
30%
Very bad
Ok
25%
Very bad
No good
10%
Very bad
Very bad
0%
There are no rows in this table
🎯 This scoring system ensures that poor exits or random wins don't mask bad decisions.
8. Expected Value per Trade (EV)
Formula: Total Net Profit / Number of Trades
What it tells you: How much you can expect to gain or lose on average for each trade.
📌 This is a powerful indicator to assess long-term profitability.
9. Trade Quality Tags
You may see tags like “🟢 Excellent,” “🟡 Decent,” or “🔴 Poor.” These are subjective evaluations that help assess trade quality beyond raw numbers.
They are calculated using fixed thresholds for metrics like PF and WL ratio.
📝 Final Note:
Always evaluate PF and Win Rate together.
A high win rate with a PF < 1 usually means small wins and big losses.
Your real edge lies in keeping your PF consistently above 1.5 while managing risk and trade quality.
Happy trading!
Keep tracking. Keep improving. 💪📊
Want to print your doc?
This is not the way.
This is not the way.
Try clicking the ⋯ next to your doc name or using a keyboard shortcut (
CtrlP
) instead.