How to calculate trading win rate
Trading win rate is the percentage of decisive trades that close as winners. Break-even trades are useful to track, but they should usually be separated from wins and losses when judging strategy accuracy.
Win rate formula
Win Rate = Winning Trades ÷ (Winning Trades + Losing Trades)
Win rate only becomes useful when combined with average reward-to-risk. A lower win rate can still work if winners are larger than losers.