Win rate and profit factor answer different questions about your trading results. Win rate shows the percentage of trades that close positive, while profit factor compares gross profit with gross loss. The article explains why a high win rate can still coincide with a low profit factor when winning trades are smaller than losing trades. It also shows how to use both metrics together, check whether profit factor is above 1.0, and review the gross totals behind the ratio. In TradeTally, you can compare win rate and profit factor in the analytics dashboard and edge reports, including by setup tag. This gives you a repeatable way to evaluate strategies without relying only on the number of winning trades.
Read the full article: Profit Factor vs Win Rate: Why TradeTally Shows Both