MaxR is a very simple metric that can help you optimize your trading strategy. Learn how it works and what to look for.
You probably know about MFE. But do you also track MaxR? In this post, I’ll show you why MFE only gives you half of the story and how MaxR can help you dramatically improve your profit per trade.
Most traders do a risk multiple analysis on their trades and that’s great! But if you take it one step further and examine these advanced R-metrics, you can gain greater insights into how you can improve your trading strategies.
MFE and MAE are trading metrics that are not talked about too often in trading education, and for good reason. They can be a little confusing. But if you understand them, they can give you deeper insight into your trading performance.