Commodities · Building a commodity strategy · lesson 5 of 9 · 6 min read · David Alexander
Expectancy: what a commodity rule is worth per trade
expectancy
Win rate times average win, minus loss rate times average loss: what one trade of the rule is worth on average, in money. It compresses a strategy's entire record into the only number that can be compared against costs, targets and alternatives - and it is only as honest as the sample and the accounting behind it.
This lesson is part of the advanced modules.
Modules 6 to 8 are included with a paid account. The definitional summary above is the whole of this page until then.