#RiskRewardRatio

Understanding the risk-reward ratio is key to successful trading on Binance. This ratio helps you evaluate potential profit against possible loss before entering a trade. For example, a 1:3 risk-reward ratio means you're risking $1 to potentially earn $3. By aiming for higher rewards than risks, even a few winning trades can outweigh losses. Combine this with stop-loss and take-profit orders for better control. Stick to your strategy, manage emotions, and avoid overtrading. Whether you're scalping or swing trading, mastering the risk-reward ratio can improve consistency and boost long-term success. Trade smart and stay ahead on Binance.