Prop Firm Bridge
Community

What is RISK REWARD RATIO?

Ankur Kumar

The Risk-to-Reward Ratio (R:R) compares the potential loss (risk) on a trade to the potential profit (reward). It measures how much money you are willing to risk for every dollar you expect to gain.

​A favorable risk-to-reward ratio ensures that a trader can remain profitable over time even with a relatively low win rate.

0
0 comments
Sign in to join the conversation

0 comments

No comments yet. Start the conversation.