Cache Hit and Index Hit
Postgres generally tries to keep the data you access most often in the cache. Cache hit ratio measures how many content requests a cache is able to handle compared to how many requests it receives. A cache hit is a request that is successfully handled and a miss is one that is not. A miss will go beyond the cache to the base machine to fulfill the request.
So if you have 100 cache hits and 2 misses, you’ll have a cache hit ratio of 100/102 which equals 98%.
For normal operations of Postgres and performance, you’ll want to have your Postgres cache hit ratio about 99%.
If you see your cache hit ratio below that, you probably need to look at moving to an instance with larger memory.
Adding indexes to your database is critical to query and application performance. Indexes are particularly valuable across large tables.
The index hit rate is measured as a ratio or percentage of the total number of queries or query executions that successfully utilize an index versus the total number of queries executed. A higher index hit rate suggests better index utilization and overall query performance.
In general, you are looking for 99%+ on tables larger than 10,000 rows. If you see a table larger than 10,000 with no or low index usage, that’s your best bet on where to start with adding an index.
For getting started with indexing, see Postgres Indexing for Newbies.