**Summary Report**

The Summary tab displays the Performance Summary, which is
almost like having three reports bundled into one report. The All Trades
section provides a summary of all trades, long and short, in its calculations.
The Long Trades section provides a summary of all the long trades, while the
Short Trades provides a summary of all the short trades.

The fields of information available in the Summary tab are
listed and described below in alphabetical order:

**Account Size Required**

This field calculates the amount of money you must have in
your account to trade the strategy. This value is calculated using the
following formula:

Absolute value of the maximum intraday drawdown + (margin
per contract x the maximum number of contracts held)

Net profit should always be compared with Account Size
Required; the bigger the net profit compared to the Account Size Required, the
better the return on investment will be.

Notes The absolute value is the
positive equivalent of any number whether it is positive or negative.

Account size required is only applicable when testing
strategies that buy or sell futures contracts because the margin is specified
in a per contract/share basis in the Costs tab when formatting strategies.

When viewing the TradeStation
Strategy Performance Report, this field calculates and displays a value for all
trades (long and short), long trades (buying long and exiting), and short
trades (selling short and exiting).

**Average Losing Trade**

This field calculates the gross loss divided by the number
of winning trades generated by a strategy.

Notes When viewing
the TradeStation Strategy Performance Report, this
field calculates and displays a value for all trades (long and short), long
trades (buying long and exiting), and short trades (selling short and exiting).

When viewing the Strategy Optimization Report, you must
specify whether you want to view short, long, and/or all calculations for a
specific field. Short fields are prefaced with Short:,
Long fields are prefaced with Long:, and All fields are prefaced with All:.

**Average Number of Bars in Losers**

This field calculates the average number of bars included in
losing trades generated by a strategy. This value is calculated by dividing the
cumulative number of bars in losing trades by the total number of losing
trades. Generally speaking, this value should be as small as possible, since it
represents the average time that there is equity in the market without
producing any returns.

Notes When viewing
the TradeStation Strategy Performance Report, this
field calculates and displays a value for all trades (long and short), long
trades (buying long and exiting), and short trades (selling short and exiting).

**Average Number of Bars in Winners**

This field calculates the average number of bars included in
winning trades generated by a strategy. This value is calculated by dividing
the cumulative number of bars in winning trades by the total number of winning
trades. Generally speaking, this value should be as small as possible, because
the smaller the number, the greater the risk/reward ratio will be, since your
equity will be exposed to market moves for less time on average.

Notes When viewing
the TradeStation Strategy Performance Report, this
field calculates and displays a value for all trades (long and short), long
trades (buying long and exiting), and short trades (selling short and exiting).

**Average Trade (Win & Loss)**

This field calculates the amount of money made or lost by
the average trade generated by a strategy. This value is calculated by dividing
the net profits by the total number of trades. This value is important as it
must be large enough to cover the costs (commission and slippage) of trading
the strategy and still show a profit.

**Average Winning Trade**

This field calculates the gross profits divided by the
number of winning trades generated by a strategy.

**Gross Loss**

This field calculates the cumulative total of all losing
trades generated by a strategy. This is a very important number that is often
overlooked because many people only look at the winning trades, ignoring the
losing trades. Keep in mind that net profit will increase not only when you
improve gross profit but also when you reduce gross loss. It is very important
to analyze the losing trades in order to improve your trading strategies.

**Gross Profit**

This field calculates the cumulative total of all winning trades
generated by a strategy.

**Largest Losing Trade**

This field returns the largest losing trade generated by a
strategy. The largest losing trade is a great starting point when improving
your trading strategies. A value that is significantly greater than the average
losing trade would indicate that there is a flaw in your strategy, and this
trade should be examined and corrected before proceeding.

**Largest Winning Trade**

This field calculates the largest winning trade generated by
a strategy. This number should be compared with the Total Net Profit field and
with the average winning trade. If the Largest Winning trade is significantly
greater than the average wining trade, and it constitutes a large portion of
your total net profit, then the strategy could be considered unsound. A strategy that is statistically valid should
not rely on one lucky trade.

Note that some trading strategies are designed to capture
big trends and ignore smaller moves. These type of
strategies will usually have large values in this field because the are
designed to capture big moves.

**Maximum Consecutive Losers**

This field calculates the longest string of consecutive
losing trades generated by a strategy. This field allows you to anticipate how
long bad streaks should last. This should be an important number when deciding
if you can emotionally and mentally trade the strategy.

Notes In the TradeStation Strategy Performance Report, this field
displays a value for all trades (long and short), long trades (buying long and
exiting), and short trades (selling short and exiting).

**Maximum Consecutive Winners**

This field calculates the longest string of consecutive
winning trades generated by a strategy. This field allows you to temper your
enthusiasm while actively trading a strategy by seeing that the strategy had
lucky streaks during your testing period as well.

Notes In TradeStation Strategy Performance Report, this field
displays a value for all trades (long and short), long trades (buying long and
exiting), and short trades (selling short and exiting).

**Maximum Intraday Drawdown**

This field calculates the largest equity dip generated by a
strategy. The largest equity dip is the largest difference between an equity high and a subsequent equity low.

For example, let's say a trade made $100. Then another trade
made another $100. Then a trade lost $50. Then a trade made $25. Then a trade
lost $50. In this sequence of trades, your equity high of $200 was reached when
you made money on the first two trades. The equity low was $125. The equity dip
was $75, the difference between the equity high of $200 and equity low of $125.

It is traditionally said that the Maximum Intraday Drawdown
should be a small amount when compared to the net profits. Remember that this
will be the minimum account size (excluding margin calculations) required in
order for you to trade this strategy.

Notes In the TradeStation Strategy Performance Report, this field
displays a value for all trades (long and short), long trades (buying long and
exiting), and short trades (selling short and exiting).

**Maximum Number of Contracts Held**

This field calculates the maximum number of contracts or
shares held at any one point during the test period of a strategy. This number
is important when trading futures, as margin is calculated on a per contract
basis.

Notes In the TradeStation Strategy Performance Report, this field
displays a value for all trades (long and short), long trades (buying long and
exiting), and short trades (selling short and exiting).

**Number of Losing Trades**

This field calculates the total number of losing trades
generated by a strategy.

**Number of Winning Trades**

This field calculates the total number of winning trades
generated by a strategy.

**Open Position P/L**

This field calculates the profit/loss on the current open
position. If you do not have an open position the field returns zero.

**Percent Profitable**

This field calculates the percentage of profitable trades
generated by a strategy. Percent profitable is calculated by dividing the
number of winning trades by total trades generated by a strategy.

Percent profitable can be misleading by itself because there
are different approaches to profitability. A strategy could have many small
winning trades, in which case the percent profitable would be high with a small
average winning trade, or a few big winning trades, which would produce a low
percent profitable and a big average winning trades.

Many successful strategies have a percent profitability
below 50% but are still profitable because their losses are limited.

**Profit Factor**

This field calculates how many dollars a trading strategy
made for every dollar it lost. This value is calculated by dividing gross
profits by gross losses.

**Ratio Average Win/Average Loss**

This field calculates, on average, how many dollars you win
for every dollar you lose. This value is calculated by dividing the average
winning trade by the average losing trade.

This field can be very deceiving by itself because
strategies can have different approaches to profitability. A strategy could
look to trade very often in order to capture many small profits yet have an
average losing trade greater than the average winning trade. The higher this
number is the better, but it should be looked at together with the percentage
of winning trades and the net profit.

**Return on Account**

This field represents the amount of money you would make
versus the amount of money required to trade the strategy, taking into
consideration margin and margin calls. This value is calculated by dividing the
net profit by the account size required.

This value is more important than the Total Net Profit field
when you buy or sell on leverage (e.g., buy or sell futures contracts or stocks
on margin). When you buy or sell on leverage, you must make a good faith
deposit called a margin. The margin is a certain percentage of the overall cost
of the transaction. In addition, when buying or selling on leverage, you need
enough money to pay off all equity dips, a process known as a margin call in
futures and stock trading.

**Total Net Profit**

This field calculates the total number of dollars made or
lost by the trading strategy during the test period.

Notes
If you are trading an investment instrument on leverage, Return
on Account is a more important field.

When viewing the TradeStation
Strategy Performance Report, this field calculates and displays a value for all
trades (long and short), long trades (buying long and exiting), and short
trades (selling short and exiting).

**Total Number of Trades**

This field calculates the total number of trades (number of
winning trades plus number of losing trades) generated by a strategy. The total
number of trades is significant for a number of reasons. For example, no matter
how large the net profit generated by a strategy, you must be sure the strategy
generated enough trades to be statistically valid. Also you need to consider
the time period tested with the total number of trades; the strategy may trade
too frequently or too seldom for your needs.

Notes When viewing
the Summary Tab in the TradeStation Strategy
Performance Report, this field calculates and displays a value for all trades
(long and short), long trades (buying long and exiting), and short trades
(selling short and exiting).

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research,
Inc. ** }

{ ** © 1987, 1999 Omega Research, Inc. ** }