Expectancy Calculator
Calculate the expected profit per trade for your system.
Expectancy per Trade
+$65.00
Profit Factor
2.44x
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What is trading expectancy?
Expectancy tells you how much you can expect to make (or lose) per trade on average. A positive expectancy means your system is profitable over time. A negative expectancy means you're slowly bleeding money.
The formula
Expectancy = (Win Rate x Average Win) - (Loss Rate x Average Loss). If your system has 55% win rate, $200 avg win, $100 avg loss: (0.55 x $200) - (0.45 x $100) = +$65 per trade.
Profit Factor
Profit Factor = Gross Profits / Gross Losses. Above 1.0 = profitable. Above 2.0 = excellent. Track yours over a meaningful sample size before drawing conclusions.
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