#风险回报比

The risk/reward ratio is an indicator that compares the potential profit of a trade to its potential loss.

To calculate the risk/reward ratio, you need to divide the difference between the entry point of the trade and the stop-loss order (risk) by the difference between the entry point of the trade and the profit target (reward).

The risk/reward ratio should be used alongside other risk management ratios to assess whether a trade has good risk.

Understanding the risk/reward ratio

The risk/reward ratio, also known as the R/R ratio, is a measure that compares the potential profit (reward) of a trade to its potential loss (risk).

Risk/Reward Ratio = (Entry Point - Stop-Loss Order) / (Profit Target - Entry Point)

To calculate the risk/reward ratio, you first need to determine the risk and reward.

Risk is the total potential loss determined by the stop-loss order. It is the difference between the entry point of the trade and the stop-loss order.

Reward is the total potential profit, determined by a profit target, which is the point in time when the security is sold.