Profit/Loss Calculator
Calculate your binary options profit, break-even win rate, and expected value per trade instantly.
Frequently Asked Questions
What is break-even win rate in binary options?
The break-even win rate is the minimum percentage of trades you need to win to avoid losing money. It depends on your broker's payout rate. For example, with an 80% payout, you need to win at least 55.56% of your trades to break even. The formula is: Break-Even = 1 / (1 + Payout%).
How is expected value (EV) calculated?
Expected value represents your average profit or loss per trade over the long run. It's calculated as: EV = (Win Rate × Profit per Win) − (Loss Rate × Loss per Loss). A positive EV means your strategy is profitable over time.
What payout percentage do binary options brokers offer?
Most binary options brokers offer payouts between 70% and 95% depending on the asset, expiry time, and market conditions. OTC (over-the-counter) assets may have different payouts than standard market assets. Always compare broker payouts before choosing where to trade.
Why is a 50% win rate not enough in binary trading?
Because broker payouts are typically less than 100%, losing a trade costs you your full stake, but winning only returns a fraction (e.g., 80%). This asymmetry means you need a win rate higher than 50% to be profitable — often 55% or more depending on the payout.