STO 3/18 SPX 2020/2035 BeCS $1.60 crd. and 1735/1720 BuPS at $1.85 crd. 44 DTE. small 1 lot trade…
POS = 76.3% R/R = 3.23 Max Loss $1,145 Max win = $355
I don’t plan to get either Max Loss or Max Win.
If I cut my loss at 1/2 of Max then the POS = 570 / 1500 = 38% which comes to show that the Probability of Success is based on holding the position to the end and any exit to avoid the large loss reduces the POS.
However, using the 50% loss and taking only 60% of Max profit improves the R/R = 2.7