8. Choosing A Strategy Flashcards

1
Q

What should your winning % be when using a touch options strategy?

A

30-40%

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2
Q

What is the formula for winning expectancy?

A

Win % = 65% = 0.65
Average Payout = 75%

Total return = 100% (Initial Invest) + 75% (Payout) = 175% = 1.75

0.65 x 1.75 = 1.1375

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3
Q

What is the minimum for winning expectancy to be profitable?

A

Minimum = 1

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4
Q

What should your winning % be when using a high/low trading strategy?

A

60-70%

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