Risk / Reward Calculator

Computes R:R ratios, breakeven win rates, and expected value for long/short trades with up to three TP targets. Visualizes risk vs reward and account risk %.

Breakeven WR = 1 / (1 + R:R). With 2:1 R:R you need about 33% win rate to break even before fees.

EV = (winRate x avgReward) - ((1 - winRate) x avgRisk). Positive EV means the strategy is profitable long-term even if individual trades lose.

Yes, the Risk / Reward Calculator is 100% free with no registration, no hidden fees, and no usage limits. All processing happens locally in your browser, ensuring complete privacy.

Absolutely. The Risk / Reward Calculator processes everything client-side in your browser. No data is uploaded to or stored on any server. Your content remains private on your device at all times.

Yes, the Risk / Reward Calculator is fully responsive and works on smartphones and tablets. You can use it on any device with a modern web browser -- no app download required.

No account or registration is needed. Simply open the Risk / Reward Calculator in your browser and start using it immediately. There are no sign-up walls or usage restrictions.

The Risk / Reward Calculator uses industry-standard formulas and algorithms to ensure accurate results. However, for critical financial or medical decisions, always consult a qualified professional.

Simply enter your input in the provided field, adjust any settings to your preference, and the tool will process it instantly. You can then copy the result to your clipboard or download it.

The Risk / Reward Calculator works in all modern browsers including Chrome, Firefox, Safari, Edge, and Opera. For the best experience, use the latest version of your preferred browser.

Most traders aim for a risk/reward ratio of at least 1:2, meaning each target sits twice as far from entry as the stop loss, so a winning trade earns double what a loser costs. A 1:2 ratio only needs roughly a 33% win rate to break even, and 1:3 drops that to about 25%, which is why higher ratios give you more room to be wrong. There is no single "best" number, though — a scalper might accept 1:1 with a high win rate, while a swing trader may chase 1:3 or more. What matters is that the ratio and your realistic win rate together produce a positive expected value. Enter your entry, stop, and targets in the calculator to see the exact R:R at each take-profit level instantly.

Risk is the distance from your entry price to your stop loss, and reward is the distance from entry to your take-profit target. The risk/reward ratio is simply reward divided by risk. For example, buying at 100 with a stop at 95 risks 5 points, and a target at 110 rewards 10 points, giving a 1:2 ratio. For a short trade the logic flips: your stop sits above entry and your target below. Multiply the per-unit risk by your position size to get total risk in the position's currency. Doing this by hand for several targets is error-prone, especially with awkward decimals in forex or crypto. Paste your entry, stop, and up to three targets into the calculator and it works out the ratio and total risk for each one automatically.

A widely used rule is to risk no more than 0.5% to 2% of your total account equity on any single trade. The logic is survival: if you risk 2% per trade, even ten losses in a row only draw your account down by about 18%, leaving plenty of capital to recover. Risking 10% per trade, by contrast, can wipe out an account during a normal losing streak. The right figure depends on your strategy's win rate and your tolerance for drawdown, with more conservative traders staying near 1%. Position size, stop distance, and account balance together determine that percentage. Add an optional account balance in the calculator and it shows exactly what share of your equity is on the line, flagging it green, amber, or red so you can size down before entering.

Profitability depends on two things together: how often you win and how much you make versus lose on each trade. A trader who wins 70% of the time can still bleed an account if the occasional losers are far larger than the frequent winners, because a few big losses outweigh many small gains. Conversely, a strategy that wins only 40% of the time is profitable with a 1:2 average risk/reward, since winners are twice the size of losers. This trade-off is captured by expected value, which weighs average reward against average risk by their probabilities. The breakeven win rate makes it concrete by showing the minimum hit rate a given ratio needs to stay flat. Enter a win rate alongside your targets in the calculator to see whether your edge is actually positive over many trades.

Using multiple take-profit targets means scaling out of a position in stages rather than exiting all at once, which changes your effective reward. Closing part of the position at a nearer target locks in profit early but lowers the average reward, while letting the rest run to a farther target raises it if price reaches there. Each target has its own risk/reward ratio measured from the same entry and stop, so a first target might be 1:1 and a third 1:3. Your blended outcome depends on how much size you assign to each level. This staged approach can reduce the chance of a winner turning into a loser, at the cost of capping some upside. The calculator lets you enable up to three targets and shows the R:R, reward, and breakeven win rate at each one so you can compare scaling plans side by side.