True AI Trading · Tools

Breakeven win rate calculator

A win rate on its own tells you nothing. Whether a strategy makes money depends on the win rate and the payoff ratio together - and a 60% win rate with an average win half the average loss loses money on every trade. This tool shows the breakeven line, where your numbers sit relative to it, and whether your sample is even big enough to know.

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win rate needed just to break even, at your payoff ratio and costs

The breakeven line

Required win rate versus payoff ratio (average win ÷ average loss). Above the line makes money; below it loses. The dot is you; the whiskers are the 95% range your sample size leaves open.

Why your win rate is not your edge

The two numbers only mean something together. A 40% win rate with 2:1 winners is profitable; a 60% win rate with 1:2 winners is not. Brokers, gurus, and leaderboards quote win rate alone because it's the number that sells - the payoff ratio is where the money actually is.

Costs move the bar. Commissions and slippage raise the required win rate on every trade. If your P&L figures are gross, everything you believe about your edge is optimistic.

Your measured win rate is an estimate, not a fact. Over 100 trades, a true 55% coin shows anywhere from 45% to 65%. If the whiskers on the chart straddle the line, your track record cannot yet tell you whether you have an edge - more trades is the only honest answer.

All figures are arithmetic on the numbers you enter, not predictions. Nothing here is financial advice.