← Back to site Free resource

Trading indicator glossary

Every stat in your journal, its formula and how to read it. Free, no signup.

Average R (SL) vs RRR (win/loss): the classic confusion

The RRR (the figure shown by FTMO / MetaStats) only compares the average size of your winners to your losers, in currency: average win ÷ average loss. Average R ties each trade to your own stop (result ÷ risk taken), so it measures your money management. A big currency gain with a wide stop gives a small R; a small gain with a tight stop gives a big R. FTMO can only show RRR because it doesn't know your stops: Tradoshi shows both.

Results

Net P&L

Formula. Sum of all trade results, fees included (commission + swap).

Read it. Your real profit or loss over the period.

Total return

Formula. Net P&L ÷ starting capital, in %.

Read it. Your performance as a percentage, independent of account size.

Expectancy

Formula. Net P&L ÷ number of trades.

Read it. What an average trade earns, winners and losers combined. Positive = winning system.

Success

Win rate

Formula. Winning trades ÷ total trades.

Read it. The share of your trades in the green. Not enough alone if your losses are big (see Profit factor and average R).

Profit factor

Formula. Total gains ÷ total losses (absolute value).

Read it. How much you earn per $1 lost. Above 1 = profitable.

Max win / loss streak

Formula. Longest run of consecutive winners / losers.

Read it. Your psychological resilience. A long losing streak is where discipline cracks.

Wins vs losses

Average win / Average loss

Formula. Average result of winning / losing trades.

Read it. The typical size of a winner and a loser, in currency.

RRR (win/loss)

Formula. Average win ÷ average loss (absolute value). This is FTMO / MetaStats' 'Average RRR'.

Read it. How much your winners weigh against your losers. Ignores your stop.

Biggest win / Biggest loss

Formula. The best and worst result on a single trade.

Read it. Your extremes. A biggest loss far above your average = a blown stop.

Risk

Average R (SL) — the true R-multiple

Formula. For each trade, R = result ÷ risk taken (entry → stop distance). Averaged over trades with a known stop (winners +R, losers −R).

Read it. How many times your risk you win on average per trade. Your expectancy, in risk units.

Max drawdown

Formula. The largest drop in your equity curve from a peak, in currency and %.

Read it. The worst run of cumulative losses. This is what blows a prop firm challenge.

Sharpe ratio

Formula. Mean ÷ standard deviation of your daily results (non-annualized, FTMO / MetaStats convention).

Read it. The consistency of your performance. Higher = steadier gains. Unreliable over few days.

Time

Average time in trade

Formula. Average duration between opening and closing a trade.

Read it. Your style (scalping, intraday, swing) and whether you hold positions as planned.

Best day / Worst day

Formula. The best and worst cumulative P&L on a single day.

Read it. Your extreme days. A huge worst day = a day without discipline.

Monthly returns (consistency)

Formula. Each month's P&L ÷ starting capital, in %.

Read it. Your steadiness month after month. Consistency beats one big isolated month.