Hi Folks, I hope you are all well and good. I was just curious to ask; if you would willing to share the percentage edge you currently work with on your best strategy. Just so people can have a rough idea of what a reasonable edge looks like.
The edge I have is that my losses are smaller then my winners. Like 5r wins or more, with outliers of 20r to 50r.
I should have added one too , keep on posting!! On a breakout with R:R 1 (TP) :2 (SL) , I would need to win at least 66.67% of my trades to break even. Win rates are currently in the range 80 ~ 85% so my edge would be 85% - 66.67% = 18.33% Edge. Example Calculation If I enter 200 trades a year and risk £10,000 to make £5,000 on each trade, the run rate return should be: [5,000 * (200 * 0.85)] - [10,000*(200*0.15)] = 850,000 - 300,000 = 550,000 Assuming 10,000 is 2.5% of my account balance (400,000), then the annual growth should be 550,000/400,000 = 1.375 assuming no withdrawals. edit: 950,000/400,000 = 2.375