#RiskRewardRatio Sure! Here’s a short discussion on #RiskRewardRatio:

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The Risk-Reward Ratio is one of the most important concepts in trading and investing. It helps you evaluate whether a trade is worth taking by comparing how much you’re willing to risk versus how much you stand to gain.

For example, if you're risking $100 to potentially earn $300, the risk-reward ratio is 1:3. That means for every dollar you risk, you could earn three. A good trader aims for higher reward than risk, often sticking to ratios like 1:2 or 1:3 to stay profitable over time.

Why it matters? Even if you only win 40–50% of your trades, a solid risk