#RiskRewardRatio

Want to trade like a pro? Then forget about luck and start counting.

One of the key indicators of a successful strategy is the Risk/Reward Ratio.

#RiskRewardRatio

This is the ratio between how much you are willing to lose and how much you want to earn in a trade. For example, if you risk $100 for a profit of $300 — you have an RRR of 1:3. This is already a sound approach.

Why is this important? Even if you are right in only 40% of your trades, with a good Risk/Reward, you can still be in the black. Because one successful trade can outweigh several losses.

Beginner traders often chase after "lower entry points" or "quick profits," forgetting: it’s not about how much you earn, but how you manage risks.

Before each trade, ask yourself: is the potential profit worth the risk?

If not — pass.