#密码资产动态追踪 How exactly is the profit and loss ratio calculated?

Imagine a betting game: if you guess correctly, I give you 1000 bucks; if you guess wrong, you pay me 100 bucks. Do you want to play? This is the essence of the profit and loss ratio—the ability of the gains and losses to balance out.

From a mathematical perspective, the profit and loss ratio is determined by the expected return. But once real trading is involved, factors like entry point selection, position size, risk management, market cycles, and slippage costs at each entry and exit all influence the actual performance of the profit and loss ratio.

So, think carefully before trading: review your positions, evaluate before adding or reducing positions, and after closing, reflect on each trade—how much can you earn if you win, and how much do you risk losing if you fail.

In reality, most people's profit and loss ratios are thoroughly poor:

**Chasing highs to the limit**: winning fifty bucks, but if the market moves against you in five minutes, you lose two hundred. **Inefficient repetition**: winning 0.98, losing one dollar; trading fees eat up a lot, with dozens of trades back and forth daily, eventually wiping out all gains. **High-leverage gambling**: with only fifty bucks in the account, using ten times leverage; with a 10% success rate, you can multiply your wins several times, but once you lose, the principal is wiped out with no chance to recover. Sometimes, lucky wins lead to pouring everything in for a hundredfold return, then nothing happens afterward. **Borrowed money all-in**: last-ditch effort, winning and bragging about your accurate prediction; losing means debt and hitting your credit report.

A poor profit and loss ratio not only damages your wallet but also easily ruins your mindset. When your mentality collapses, you make all kinds of trash operations, further worsening the profit and loss ratio, creating a vicious cycle.

Smart approach is actually simple: avoid trading in markets with poor profit and loss ratios, or try a small position with an Ant Margin account to get a feel for the market rhythm. Wait until the market shows clear opportunities with a good profit and loss ratio like earning 1000 and losing 100, then set reasonable stop-loss and moderate leverage before entering. Follow the trend, rather than trading every day.