Suppose you knew from your data that 75% of pips made with your trading system, occurred when price retraced 50 to 60% at the time of. This is data that can be downloaded algorithmically and analyzed. Scrolling back through history is not sufficient to accurately depict past historical information.

Professional traders know the statistical data behind their systems and then they use that data to determine entry points that increase profitability. Unfortunately this data is mostly unknown to because the system they are using has not done the research or because they have not done their own research.

Here is an example of how that might work.

Or, using Fibonacci Ratios, you would know under a particular situation, for example, that price retraced to the 38.2% line 60% of the time. In other words, if you were trading the Egan Wave Theory you would have specific data that would determine the probability of when one wave would end and the next would begin. You would use that information to improve your entry or exit. Statistical data is information on a particular trading system that you use. Without it, the trader is severely handicapping himself or herself.

If you had this information, you would have information that would increase your profitability.