Gian, I think the point is, if you trade with this system correctly your losses will be limited but your gains could be huge...
You could theoretically only have winning trades 10% of the time (or less) and still make money
What if you only win 1/2 the time but those times you win you make 5X more than when you lose on average? Then your win/lose ratio is still about 80% is it not?
jmho