The win rate ratio is the percentage of trade with profit.
- a win rate ratio > 50% means there are more winning trades than loosing ones.
- a win rate ratio < 50% means there are less winning trades than loosing ones.
Win rate ratio alone is not useful. You need to add the average profit and loss per trade.
Let say you have a win rate ratio of 25%, that means that you lose 3 trades out of 4. That not looks like a great news. But if the winning trades bring a profit of $1000 and the average losing trade is $100, then you'll still win money at the end of the day.
On the contrary if your win rate ratio is 90% (you win 9 trades out of 10) but when a winning trade is on average $10 and a losing trade $100, then at the en of the day you'll lose money.