How trading profit is calculated
Long trade: profit = (exit price − entry price) × quantity × multiplier − fees.
Short trade: profit = (entry price − exit price) × quantity × multiplier − fees.
Return on the position is the net profit divided by the position's cost (entry price × quantity × multiplier). If you enter your stop loss, the calculator also shows the trade's R-multiple: net profit divided by the risk you planned.
Why R-multiples beat dollar P&L for review
A $300 win means something different on a $100 risk than on a $1,000 risk. Measuring each result in R — multiples of what you risked — lets you compare trades of different sizes and see whether your winners are really larger than your losers.