Calculator · taught at the green belt
Risk / Reward Calculator
Enter your entry, stop loss, and take-profit prices to see your reward-to-risk ratio and the break-even win rate it implies. A ratio below your target is a signal to skip the trade rather than to widen the target until the number looks acceptable.
ratio = |target − entry| ÷ |entry − stop| · break-even = 1 ÷ (1 + ratio)
Reference values
| Scenario | Result |
|---|---|
| 1:1 ratio | 50.0% break-even win rate |
| 2:1 ratio | 33.3% break-even win rate |
| 3:1 ratio | 25.0% break-even win rate |
Where this is taught
This calculator exists because of a specific lesson. If the inputs above are not obvious, read it first — open the lesson.
The other calculators
A word on precision
These calculators use the standard textbook formulas and assume the conversion rate you supply. Your broker's figures may differ slightly because of their own conversion timing, commission structure and rounding of lot sizes. Use these numbers to size the decision; use your platform's order ticket to confirm the exact fill.