Trading Profit Jan2010 | UP 12% | Options Trading Strategies
  • 14 years ago
Return: Profit/Start of Year Cash Balance = $6,038/$50,000 = UP 12%. Key Performance Metrics ... Win/Loss Probability = 18/30 = 60%. Average Win/Average Loss = $579/$365 = $1.59 Won per $1 Loss. Performance Ratio = (Win/Loss Probability) x (Average Win/Average Loss) = 60% x $1.59 = 0.95. Positive Expectancy = (Win Probability x Average Win) - (Loss Probability x Average Loss) = (60% x $579) - (40% x $365) = $201 per trade. For more, see: http://www.homeoptionstrading.com/consistent_results/