Tools / Risk reward calculator

Risk-reward and break-even win rate calculator

Every risk-reward ratio implies a minimum win rate. Enter your entry, stop and target to see both.

Risk per unit
$2.00
Risk-reward ratio
1 : 3.00
Break-even win rate
25.0%
Win more than this and the setup is profitable

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Frequently asked

What is a good risk-reward ratio?

There is no universally good ratio. A 1:1 setup needs to win more than 50% of the time; a 1:3 setup only needs to win more than 25%. What matters is whether your real win rate clears the break-even line for the ratio you actually trade.

How do I calculate break-even win rate?

Break-even win rate = 1 / (1 + R:R). At 1:2 that is 33.3%, at 1:3 it is 25%.

Should I chase a higher R:R?

Only if your win rate holds up. Wider targets usually lower your hit rate, so check your journal for the ratio your strategy actually reaches, not the one you plan for.

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