Assess your trade setups with ease. Input your levels and see if the potential reward justifies the risk in seconds.
Trading Risk & Reward Calculator
This calculator helps you identify winning combinations of win rate and reward/risk ratio. Understand where to place stop losses so that your strategy has a higher chance of success.
Trade Side
Long
Entry price
Profit target
Stop loss
Reward/risk ratio
0.00
Potential gain
$0.00
Potential loss
$0.00
Breakeven win-rate
0.00%
How It Works
Four simple steps to evaluate any trade setup
1
Choose Trade SideSelect whether you're going long (buying) or short (selling) on the asset.
2
Enter Your PricesInput your planned entry price for the trade.
3
Set Your LevelsAdd your profit target and stop loss prices to define the trade boundaries.
4
Get Your ResultsClick calculate to see your risk-reward ratio, potential gain/loss, and breakeven win-rate.
Frequently Asked Questions
Find answers to common questions about this calculator.
What is a good Risk to Reward ratio?
A widely accepted standard in trading is a minimum of 1:2 risk-to-reward ratio. This means you are willing to risk $1 to make $2. With a 1:2 ratio, you only need to be right 33% of the time to break even. However, the 'best' ratio depends heavily on your trading strategy's win rate.
How does win rate affect my required Risk:Reward?
Should I always stick to my initial Risk/Reward ratio?
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