ShadowTrader

Risk/Reward calculator

Discover the relationship between win rate and risk/reward ratio for profitable trading

50%

Win rate

10% 90%
1:2

Risk/Reward ratio

1:1 1:9

Profitability analysis

+0.0%
Expected return per trade
33.3%
Break even win rate
PROFITABLE
Trading strategy

Calculation breakdown

Win scenario:

50% chance to win $2.00 per $1.00 risked

Loss scenario:

50% chance to lose $1.00 per $1.00 risked

Expected value formula:

(Win rate × Reward) - (Loss rate × Risk)

Break even formula:

Risk ÷ (Risk + Reward) = 33.3%

Risk/Reward vs Win rate matrix

Risk/Reward 20% 30% 40% 50% 60% 70%
Not Profitable
Break Even
Profitable