#RiskRewardRatio

The **Risk-Reward Ratio (RRR)** compares potential profit to potential loss, ensuring trades are worth the risk—like risking **$100 to gain $300 (1:3 RRR)**. A ratio of **1:2 or higher** improves profitability, but always pair it with a solid **win rate** and predefined stop-loss/take-profit levels. For even better results, **use RRR alongside technical analysis** (like support/resistance levels) to confirm high-probability entries and avoid impulsive trades.