PnL: The number that tells you if you are making or losing money

Every trader is obsessed with one thing: How much did I gain or lose today? That is the PnL (Profit and Loss).

It seems simple, but here comes the important part: many beginners ignore their real PnL. They open positions without knowing what their breakeven point is, close trades without analyzing whether they were profitable, and at the end of the month… unpleasant surprise.

Why PnL is your best ally?

It's not just about knowing whether you won or lost. It's about understanding why you did. When you calmly review your PnL, you see patterns: such a strategy works in ranges, another one in trends. This allows you to adjust.

The uncomfortable reality:

You don't need to win on every trade. The difference between a trader who lasts and one who goes bankrupt is that the former has controlled losses and consistent long-term gains. The latter expects to always win and when they lose, they lose everything.

Unfiltered advice:

Tracking your daily PnL is boring, but it's what saves you when the market goes crazy. The pros do it religiously. The amateurs… well, they keep rotating strategies every week.