Expected Value (Trading) Calculator
Expected Value per Trade
EV from Trade History
Formula
EV = (Win% x Avg Win) - (Loss% x Avg Loss); Expectancy Ratio = EV / Avg Loss
Frequently Asked Questions
What is expected value in trading?
Expected value (EV) is the average amount you expect to win or lose per trade over a large number of trades. A positive EV means your trading system has a profitable edge.
How is trading EV calculated?
EV = (Win Rate x Average Win) - (Loss Rate x Average Loss). If the result is positive, you have a profitable system over time.
Why is expected value important?
EV tells you whether your trading strategy is profitable in the long run. Even with a low win rate, you can have positive EV if your average win is significantly larger than your average loss.
You may also need
$
Kelly Criterion Calculator
Free Kelly Criterion calculator. Determine the optimal bet size or position size to maximize long-term growth based on your win probability and payout ratio.
Finance$
Win Rate Calculator
Free win rate calculator. Calculate your trading win rate percentage and determine the minimum required win rate for profitability based on risk-reward ratio.
Finance$
Profit Factor Calculator
Free profit factor calculator. Calculate the ratio of gross profits to gross losses to evaluate trading system performance.
Finance