Trade Statistics

Trade statistics break down the individual trade results — how often you win, how much you win/lose on average, and how those compare.

Quick Reference

MetricFormulaUnit
Total TradesCount of all tradescount
Winning TradesTrades with P&L > 0count
Losing TradesTrades with P&L < 0count
Even TradesTrades with P&L = 0count
Win Rate(Winning / Total) × 100%
Profit FactorGross Profit / Gross Lossratio
ExpectancyNet Profit / Total Trades$
Avg WinMean of winning trade P&Ls$
Avg LossMean of losing trade P&Ls$
Median WinMedian of winning trade P&Ls$
Median LossMedian of losing trade P&Ls$
Median TradeMedian of all trades$
Largest WinMaximum winning trade$
Largest LossMaximum losing trade (negative)$
Avg Win/Loss RatioAvg Win / |Avg Loss| (payoff ratio)ratio
Win/Loss Count RatioWinning Trades / Losing Tradesratio
Kelly %(WR - (1-WR)/Payoff) × 100%
MAEAverage maximum adverse excursion$
MFEAverage maximum favorable excursion$
MFE/MAE RatioMFE / MAEratio

Key Metrics Explained

Win Rate

Percentage of trades that make money. While a high win rate feels good psychologically, it's not sufficient on its own — a 90% win rate with huge occasional losses can still lose money overall.

Win RateTierNote
≥ 70%ExcellentVery high — verify not curve-fit
≥ 55%GoodSolid
≥ 45%CautionAcceptable if payoff ratio is high
< 45%FailedNeeds strong reward/risk to compensate

Very high win rates (above 80%) can also be a sign of look-ahead bias — worth investigating in your strategy code.

Profit Factor

Gross profit divided by gross loss. The simplest measure of whether a strategy makes money.

  • PF > 1.0 — Profitable (earning more than losing)
  • PF > 1.5 — Solid edge
  • PF > 2.0 — Strong edge
  • PF < 1.0 — Losing money

Expectancy (Average Trade)

The average dollar amount per trade. Positive expectancy means each trade is expected to make money on average. This is the most fundamental metric for a trading system.

Payoff Ratio (Avg Win/Loss Ratio)

How much you win on average vs. how much you lose. A payoff ratio of 2.0 means average wins are twice the size of average losses.

Tip

Win Rate × Payoff Ratio is the key relationship. You can succeed with low win rates if your winners are much larger than losers (trend following), or with high win rates and smaller winners (mean reversion). Neither is inherently better — they're different styles.

Kelly Percentage

The mathematically optimal percentage of capital to risk per trade, based on your win rate and payoff ratio:

Kelly % = (Win Rate - (1 - Win Rate) / Payoff Ratio) × 100

In practice, most traders use half-Kelly or quarter-Kelly to reduce volatility. AlgoChef displays full Kelly for reference only — do not use it directly for position sizing without adjustment.

MAE & MFE

  • MAE (Maximum Adverse Excursion) — How far a trade goes against you before closing. Helps optimize stop-loss placement.
  • MFE (Maximum Favorable Excursion) — How far a trade goes in your favor before closing. Helps optimize take-profit placement.
  • MFE/MAE Ratio — Values above 1.0 mean trades typically move more in your favor than against you.

These require entry/exit price data in your import.

Tip

MAE and MFE data requires entry and exit prices in your import file. See the CSV Format Reference for details.

Tip

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