Analysis
Probability of Profit (POP)
Chance trade is profitable
What is Probability of Profit (POP)?
Probability of Profit (POP) The statistical likelihood a trade will make money at expiration. Estimated using delta. Credit spreads often have 60-80% POP; debit spreads may have 30-50%.
Complete Definition
The statistical likelihood a trade will make money at expiration. Estimated using delta. Credit spreads often have 60-80% POP; debit spreads may have 30-50%.
Related Terms
Want to Learn More?
Explore our educational resources and analytics tools to deepen your understanding.