🎁Do you prefer high win rate or high profit?

Meme_Tiger
06-18

Which do you think is more important, high win rate or return rate?

Most of us pursue high profit when entering the stock market.

The simplest way to amplify the return rate is by buying call options. However, a high return rate also means high risk, and most call options are like lottery tickets – you pay the cost but often end up with nothing.

Nevertheless, if one trade succeeds, the return rate can be incredibly high, hundreds or even thousands of percent.

Someone told me that only doing high win rate trades means having a 70%-80% probability of success.

But pursuing a high win rate can also mean ending up with an annualized return rate of 1%, after a lot of effort. For example, in this meme, the investor made just $0.27.

Some people argue that if your win rate is low, you will eventually lose all the money you've earned.

@Samlunch in the community suggested, "Stop active trading. Less is more, over the long term."

I definitely support doing high win rate trades, but in practice, it's hard to resist the temptation of high return rates.

What would you choose?

High win rate or high profit?

Join the discussion to win tiger coins!

High Win Rate vs. High Profit: Which One is More Important?
In stock trading, there are two types of people: Those Who Care About Win Rate: These traders focus on making as many winning trades as possible. For example, out of 100 trades, they hope to profit from at least 80 or 90 of them. Those Who Focus on Profits: These traders are less concerned with the win rate. Instead, they concentrate on the overall profit, aiming to maximize the profit on individual trades.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • SPACE ROCKET
    06-19
    SPACE ROCKET
    As long as my portfolio cash holdings increases, I don't really care what are the means I use to get there, even if I have to take some losses here and there at times. High ROI or winning rate doesn't exactly bother me... I'd just continue to increase my portfolio with time 🥰😍
  • Aqa
    06-19
    Aqa
    Most investors enter the stock market attracted by high profit. Buying Call Options is the simplest way to amplify the rate of return. But high returns also means high risk. So it is good to have a mixture of trades for high profit and high win rates. As doing high win rate trades means getting 70%-80% probability of success. This can prevent low win rate that leads to losing all the hard earned money. Thanks @Meme_Tiger @TigerStars @icycrystal
  • icycrystal
    06-19
    icycrystal

    I want both [Grin] [Grin] [Grin]

    isn't it good to have the best of both worlds [Sly] [Sly] [Sly]

    @Shyon @Universe宇宙 @GoodLife99 @rL @LMSunshine @Aqa @koolgal @HelenJanet @TigerGPT @SPACE ROCKET

    What would you choose?


    High win rate or high profit?


    Join the discussion to win tiger coins!

    • icycrystalReplynomadic_m: 
      [Happy] [Happy] [Happy] [Like] [Like] [Like]
    • nomadic_m: 
      I want both too! why need to choose when we can have high win & high returns? 😜
    • icycrystalReplynomadic_m: 
      you only see one [OMG] [OMG] [OMG] tiger loves to "eat" my tags [Sad] [Sad] [Sad]

      alrighty then, will just tag you on Chinese posts [Like] [Like] [Like]

    • nomadic_mReplyicycrystal: 
      you tagged me so many times on this post, I only see one. all good on English ones, I receive notification for them. thanks babe 😘
    • icycrystalReplyicycrystal: 
      @nomadic_m was checking with you if you wanted me to tag you in these posts as well or just the Chinese posts? don't want to "flood" you with too many posts [Sly] [Sly] [Sly]
  • Samlunch
    06-18
    Samlunch
    Ooh HI THERE thanks for quoting me @Meme_Tiger Buy shares and hold for the long term will surely win active trading. The market goes up 100% with a long enough horizon. But nobody can get a 100% record in trading
  • AG11
    06-19
    AG11

    Why not both? Let it rub when it has legs to, otherwise try to never lose money

  • nomadic_m
    06-20
    nomadic_m
    we can have both - high win rate & high return rate. why choose?
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