What are good stats in Forex

I measure success in consistency. I think that the number of percentages is not the most important factor that you should pay attention to while analysing your trading results. I feel that consistency is more important. For example, if you make 5% every month during a year, it is a fantastic results. It signifies that you know the market and your trading strategy is reliable. You can modify your trading strategy if you want to earn more, but from this moment you can be sure about your knowledge of the market.

10% per month as a good target

posted:
I wanted to create a thread that asked the following questions...

What are good stats in forex?

Are there stat values that show a system still has problems even if it is profitable?

Thank you for your time

A good stat is anything with a + in front of it!

Your second question is not so clear, what do you mean by a system that has problems? Do you mean losses? If so, all systems will have losses, as this part of Forex and must be accepted.

SaltaLargo posted:
Risk reward is important but do not place too much importance on it. You also need to identify the right trades so that your win rate is high enough to still make profit

Risk rewards are very important for survival in trading. You can't make a profit with a good strategy if you don't have a good risk ratio.

posted:
I wanted to create a thread that asked the following questions...

What are good stats in forex?

Are there stat values that show a system still has problems even if it is profitable?

Thank you for your time

It all depends on how you're trading but in general you want at least 2:1/3:1 on your trades. This gives you room to make sure you are not pressurising yourself for high accuracy. All in all, the strategy you learn will give you the right risk to reward so the 'stats' will be individual to each person. Like i aim for trades 3:1 up but i know ill have 'x' amount of percent accuracy and im fine with that but some may be scalpers and going for 1:1 and want a lot higher accuracy so the stats change per person and per strategy

The good stats in forex are the ones that show a profitable trading system. There are many statistical indicators that work well in forex. The stats value you can consider are:
Calmar Ratio (targets reward/risk, over 3 is good)
Profit Factor (average win/loss ratio, over 2 is good)
Heiken Ashi (buy when green, sell when red)
Moving Averages (higher is better).

Long term profitabilty is ultimately what dictates 'good' stats in trading.

sebking1986 posted:
Long term profitabilty is ultimately what dictates 'good' stats in trading.

Long term trading is much less risky. And one should never think unrealistically.

Bern in profit overall really just turning a profit more so than been stuck in DD .
As for strike rate anything over 50% is doing a great

Trading is a probability game and the more you understand ratios, percentages, etc trading becomes easier.

The trader needs to create a balance between the win-rate and risk-reward ratios in order to be successful.

It all depends on your Risk : Reward ratio.

A great formula to know is:

Minimum Win % = Risk ÷ (Risk + Reward) x 100

So, for example, if you have a 2:1 average reward-to-risk ratio then you only need to be winning 33% of your trades over the long term in order to break-even.
1 ÷ (1 + 2) x 100 = 33%

Exceed that win rate and you will be making money.

**This assumes you have the psychological discipline to honour your SL and only take trades which are greater than or equal to the R:R you have chosen as your target. This is a whole other game.**

If you want to start and be successful in forex you must learn forex first and after choose a reliable and trusted broker and start practising with a demo account. It will help you a lot to become a good trader.

I think that the right measurement to see whether the trading is good or not so good is consistency. I mean that everyone can have a streak of good luck from time to time and it is normal. THat is why it becomes hard to tell whether this or that trader is a success or he was just lucky. However, when we look at the stats in the perspective of several years and we can notice that there is some sort of consistency there, we can say that this person knows what he does and his profits can be small, but they are real which is a very difficult thing to achieve in trading.

skihav posted:
This is already purely individual. Someone is just fine not to go to a loss, someone is aimed at making a profit.

To decide what should you do, you need to have proper knowledge and skills,