When Should You Use a Break-Even Calculator?
Use this calculator to evaluate any trading strategy:
• Analyzing your trade journal to see if your edge is real
• Setting realistic profit targets relative to your stops
• Understanding if a lower win rate strategy can still be profitable
• Optimizing the balance between win rate and win/loss ratio
How It Works
Enter Your Stats
Input your average win and average loss from your trading journal.
Add Win Rate
Optionally enter your actual win rate to see expected value per trade.
See the Math
Get the minimum win rate needed, expected value, and profit factor.
Example
Scenario: Your average winning trade is $400 and your average losing trade is $200, giving a 2:1 R:R.
Calculation: Break-even win rate = 1 / (1 + 2) = 33.3%.
Result: You only need to win 33.3% of trades to break even. If your actual win rate is 45%, your system has a clear edge.
Frequently Asked Questions
Related Tools
Quick Reference Table
| Avg Win | Avg Loss | R:R | Breakeven Win Rate |
|---|---|---|---|
| $200 | $100 | 2:1 | 33.3% |
| $300 | $100 | 3:1 | 25.0% |
| $100 | $100 | 1:1 | 50.0% |
| $150 | $100 | 1.5:1 | 40.0% |
| $400 | $100 | 4:1 | 20.0% |