calculate sharpe ratio for intraday trading

[gmst]

Quote from Mtrader:

I think there is something wrong in my calculations. I calculated a sharpe ratio ( for a specific series of trades) of 1.39
If I take the same data but reduce all profits above 1.000$ a trade by 75%, my sharpe ratio rises to over 2.25!

So my drawdown did not change, only my profits went down drastically, but my sharpe ratio improved???????? All I did was cut my profits, so how can my share ratio improve with lower profits?

This is expected

Takes some time to believe it. As another poster said, Sortino doesn't penalize upside volatility.

 

[Mtrader]

Quote from gmst:

This is expected

Takes some time to believe it. As another poster said, Sortino doesn't penalize upside volatility.

So I was a good student.

 

[southall]

Quote from Mtrader:

Can you please specify how the exact calculations should be done. My mothertongue is not english at all. So I want to be sure not to make mistakes again.

Is it total profits divided by total losses?

Yes, you can calculate profit factor on a trade basis, daily basis, or monthly basis.

I look at in on daily basis. Anything over 3 is really good.