Risk / Reward Ratio Calculator

Know your risk-to-reward before you enter. Punch in your entry, stop-loss and take-profit and this tells you the ratio — the single most important number for staying profitable long-term.

Risk / reward ratio

How to use it

  1. Enter your planned entry price.
  2. Enter your stop-loss price.
  3. Enter your take-profit (target) price.
  4. Read your risk/reward ratio — aim for 1:1.5 or better.

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Frequently asked questions

What is a good risk-to-reward ratio?

A ratio of 1:1.5 or higher is widely considered healthy. It means you stand to make at least 1.5× what you risk. With a good ratio you can be profitable even winning less than half your trades.

How do you calculate risk-reward?

Risk = distance from entry to stop-loss. Reward = distance from entry to take-profit. The ratio is reward ÷ risk. This calculator works it out in price and pips.

Why does risk/reward matter?

Because it decides whether you make money over time. Poor risk/reward means one loss wipes out several wins. Every signal we publish has a defined risk and reward built in.

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