#RiskRewardRatio Risk-Reward Ratio: Trade Smarter, Not Harder!**

Every successful trader knows: **risk-reward ratio (RRR)** is the backbone of profitable strategies. Here’s how to leverage it:

✅ **What is RRR?**

It’s the potential reward of a trade relative to its risk. For example, risking $100 to gain $300 is a 1:3 ratio.

✅ **Why It Matters**

- A 1:2+ ratio means even 50% win rates can yield profits.

- Protects capital by prioritizing trades where rewards *justify* risks.

✅ **How to Apply It**

1. **Set Stop-Loss & Take-Profit**: Define exits *before* entering a trade.

2. **Avoid Low-RRR Trades**: Skip setups where potential gain <