What is capture ratio in trend trading?

R captured divided by R available — how much of the move from your entry to the session extreme you actually realised. Averaging below about 0.35 across twenty trend trades indicates the exits, not the entries, are the limiting factor.

How many trend trades before drawing conclusions?

Twenty gives a first read on capture ratio and around fifty is needed before altering the trailing rule, since gold trend results are dominated by a small number of large sessions.

Journaling Gold Trend Continuation Trades

Q: What should I journal for gold trend trades?

The trend filter score out of three, the entry zone type, retracement depth, ATR at entry, R captured, R available measured after the close, the resulting capture ratio, and whether any adds were planned or improvised.

A gold trend journal should record the trend filter score out of three, the entry zone type, retracement depth, ATR at entry, R captured, R available measured after the close and the resulting capture ratio.

Capture ratio — realised R divided by available R — separates entry quality from exit quality in a way win rate cannot, and an average below about 0.35 indicates exits are the limiting factor.

Segmenting results by trend filter score usually shows that only full three-out-of-three setups carry the edge, converting the filter from advice into a data-backed rule.