#AccountPNL

📘 #AccountPNL – What It Is & Why We Use It

Account PNL stands for Account Profit and Loss. It's a critical metric in trading that tells you how much money you’ve made or lost in your account over a specific period.

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💡 What is Account PNL?

PNL = Profit and Loss

It shows the net result of your trades:

PNL = (Total Sell Value – Total Buy Cost) – Fees

There are two types:

✅ Realized PNL: Actual profit/loss from trades you’ve closed

🔄 Unrealized PNL: Floating profit/loss from open positions

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🧠 Why Do We Use Account PNL?

1. Track Performance: It shows if you're consistently profitable or need to adjust your strategy.

2. Risk Management: Helps you spot losses early and limit overexposure.

3. Tax Reporting: You’ll need accurate PNL records for crypto tax filings.

4. Strategy Testing: You can evaluate how well different trading setups work over time.

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✅ In Summary:

Account PNL = Your Scoreboard in Trading.

If you don’t track it, you’re trading blindly. Always know your numbers to grow your skills and your portfolio!

#CryptoBasics #TradingTips #KnowYourPNL

Want a tool or sheet to track your PNL?