What is payoff ratio ?
There are so many trading metrics out there that it is hard to understand them all. Yet as we have shown on this blog some of them are very important and can help you to analyze and improve your trading performance. Today we are going to look at the payoff ratio. It’s a little bit less known, but does this mean it’s a hidden gem? In this article, I will try to explain what the payoff ratio is, how to calculate it, and if it's useful.