# Pnl Explained Faq

Content

• The total margin balance in your account will always be equal to the sum of the initial margin deposit, realized P&L and unrealized P&L.
• Answer 4) There are two methodologies for calculating Pnl Explained, the ‘sensitivities’ method and the ‘revaluation’ method.
• Unr P&L – displays unrealized P&L, which is the difference between the current market value of your open positions and the average cost.
• To determine if it’s a profit or loss, we need to know whether we were long or short for each trade.

Unr P&L – displays unrealized P&L, which is the difference between the current market value of your open positions and the average cost. Once we have the P&L values, these can easily be used to calculate the margin balance available in the trading account. The actual calculation of profit and loss in a position is quite straightforward. To calculate the P&L of a position, what you need is the position size and the number of pips the price has moved.

## Software Features

If you’re selling wallets, you’ll have to include the cost of purchasing the wallets from the manufacturer. If you’re creating a monthly profit and loss statement, you’ll include all of the revenue received in that time frame, whether your business has collected that revenue or not. Trading and investment decisions should not be based solely upon values or calculations generated by the Trade & Probability Calculator. All probability calculations are based on an assumption of stable implied volatility values. Changes in implied volatility could dramatically affect forecasts.Notice also that the rate of change of the delta isn’t changing… the gamma is staying at \$1…. 1) Can be fully accurate, meaning there can be no explained since the revaluation method isn’t subject to the limitations in accuracy of the sensitivities method as it is typically implemented.

## Realized And Unrealized Profit And Loss

Understanding these principles can help you reach your financial goals. Our priority at The Blueprint is helping businesses find the best solutions to improve their bottom lines and make owners smarter, happier, and richer.