Metrics

Average Win / Average Loss

The mean profit on winning trades and mean loss on losing trades.

Formula

Avg Win = Total Profits / # Winners; Avg Loss = Total Losses / # Losers

More Details

What is Average Win/Loss?

Average Win is the mean profit on winning trades. Average Loss is the mean loss on losing trades. Together with win rate, they determine profitability.

Why This Matters

Two traders with identical win rates can have opposite results:

Metric Trader A Trader B
Win Rate 50% 50%
Avg Win $100 $300
Avg Loss $200 $100
Result Losing Winning

The Ratio (Reward-to-Risk)

W/L Ratio = Avg Win / Avg Loss

Ratio Meaning
< 1.0 Losses bigger than wins
1.0 Equal sized wins/losses
> 1.0 Wins bigger than losses
2.0+ Strong edge

Problems with Simple Averages

  1. Outliers skew data: One huge win inflates average
  2. No context: Scalp vs swing averages aren't comparable
  3. Position size ignored: Dollar amounts vary with sizing

TradesViz Analysis

  • Median win/loss (outlier resistant)
  • Distribution charts
  • Per-setup averages
  • Trimmed means (excluding outliers)
  • Time-based breakdown

Where to find it in TradesViz

Summary > Overall Statistics displays Avg Win and Avg Loss. Performance Metrics & Ratios > Returns Distribution shows the full distribution of wins and losses. Use Pivot Grid to calculate per-setup, per-symbol, or per-tag averages with median and trimmed mean options.

Example

500 total profits from 5 winners equals 100 avg win. 300 losses from 3 losers equals 100 avg loss.