What is the 'Win/Loss Ratio'
The win/loss ratio is a ratio of the total number of winning trades to the number of losing trades. It does not take into account how much was won or lost simply if they were winners or losers.
Win/Loss Ratio = Winning Trades : Losing Trades
The win/loss ratio is also known as the "success ratio".
BREAKING DOWN 'Win/Loss Ratio'
For example, if you made 30 trades and of them 12 were winners 18 were losers, your win/loss ratio would be 2:3. Your probability of success would be 40%.
The win/loss ratio is used in calculating the risk/reward ratio. It is not very useful on its own because it does not take into account the monetary value won or lost in each trade. For example, a win/loss ratio of 2:1, means the trader has twice as many winning trades than losing. Sounds good, but if the losing trades have dollar losses threetimes as large as the dollar gains of the winning trades, the trader has a losing strategy.

Current Ratio
The current ratio is a liquidity ratio measuring a company's ... 
Ratio Analysis
A ratio analysis is a quantitative analysis of information contained ... 
Combined Ratio
A measure of profitability used by an insurance company to indicate ... 
Accounting Ratio
A way of expressing the relationship between one accounting result ... 
Key Ratio
A mathematical ratio that illustrates and summarizes the current ... 
Activity Ratios
Accounting ratios that measure a firm's ability to convert different ...

Investing Basics
Analyze Investments Quickly With Ratios
Make informed decisions about your investments with these easy equations. 
Trading Strategies
Financial Ratios to Spot Companies Headed for Bankruptcy
Obtain information about specific financial ratios investors should monitor to get early warnings about companies potentially headed for bankruptcy. 
Fundamental Analysis
Efficiency Ratio
There are many types of efficiency ratios, but all measure how well a company utilizes its resources to make a profit. Business managers use these ratios to determine how well they are operating ... 
Active Trading Fundamentals
Beginner Trading Fundamentals: Limiting Risk
Managing risk is the most important thing you do as a trader. Here we discuss probability and strategies for limiting trading risk. 
Forex
The Price To Earnings Ratio Explained
The price to earnings ratio is one of the most important ratios in investing. Find out how it is calculated, how it can be used and what it tells investors about a particular stock. 
Investing
Ratio Analysis
Ratio analysis is the use of quantitative analysis of financial information in a company’s financial statements. The analysis is done by comparing line items in a company’s financial ... 
Fundamental Analysis
Dynamic Current Ratio: What It Is And How To Use It
Learn why this ratio may be a good alternative to the current, cash and quick ratios. 
Fundamental Analysis
Ratio Analysis: Using Financial Ratios
There is a lot to be said for valuing a company, it is no easy task. If you have yet to discover this goldmine, the satisfaction one gets from tearing apart a companies financial statements and ... 
Forex Education
5. Calculate Your Expectancy
Learn how to determine how reliable your trading system is, and know when you need to change things up. 
Trading Strategies
What Is The Crystal Ball Indicator for Traders?
If you want to be a succesful trader in the market, here we show you the indicators that will help you achieve it long term. Do you have what it takes?

How do stock dividends affect the retained earnings account?
Understand the difference between financial ratio analysis and accounting ratio analysis. Learn why ratio analysis is important ... Read Answer >> 
What role does ratio analysis play in valuing a company?
Learn about the role of ratio analysis in determining company value, including some of the most common ratios used by modern ... Read Answer >> 
To what extent should you take a company's liquidity ratio into account before investing ...
Find out how important it is for an investor to know a company's liquidity ratio before deciding to invest, and why relying ... Read Answer >> 
How can a company quickly increase its liquidity ratio?
Discover what high and low values in the liquidity ratio mean and what steps companies can take to improve liquidity ratios ... Read Answer >> 
What is the difference between the loss ratio and combined ratio?
Learn about the loss ratio and combined ratio, what the two ratios measure and the main difference between the loss ratio ... Read Answer >> 
Which financial metrics are best for analyzing companies in the chemicals sector?
Learn about some of the key financial metrics that investors and market analysts commonly use to evaluate companies in the ... Read Answer >>