#RiskToReward : "Why 90% of Traders Fail: They Don't Respect the Risk-Reward Ratio!"

Most traders chase profits.

Smart traders calculate risk first.

Here’s the hard truth: If your Risk:Reward ratio is 1:1 or worse, you’re not trading — you’re gambling.

Let’s break it down:

Scenario 1: Risk:Reward = 1:1

Win Rate Needed: Above 50% to be profitable.

Not sustainable for long-term success.

Scenario 2: Risk:Reward = 1:2

Win Rate Needed: Only 34% to break even.

This is how professional traders stay in the game.

Scenario 3: Risk:Reward = 1:3

Win just 25% of trades, and you’re still growing your capital!

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So what’s the real edge?

Enter trades near key levels (support/resistance).

Keep tight stop-losses — don't over-risk.

Always aim for higher reward zones — trend continuation, breakouts, liquidity zones.

Golden Rule:

“Take trades where your potential reward is at least 2-3x your risk — every single time.”

Because it's not about how many trades you take,

it's about how much you risk to win what matters.