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Alias Born 12/28/2008

Re: None

Saturday, 01/24/2009 1:51:54 AM

Saturday, January 24, 2009 1:51:54 AM

Post# of 1986
How to calculate expectation w/ oddsmaker

To calculate my expectation in terms of percent, I am doing the following: I am setting my success indicator for "up 0.1%".
I am then multiplying the given success rate by the average winner, and (1 - success rate) multiplied by the average loser, and adding the sums together. I'm using .1% as the smallest possible up move.

Is this correct to calculate the expectation of a trade?

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