Is this trade worth taking?

WORKFLOW · RISK/REWARD · ADVANCED

Most traders check the price. Few check the math. Enter your setup to see R:R ratio, minimum win rate, position size, and liquidation distance instantly.

You're going long at $83000 · your stop is $80500 · targeting $89000 · risking 1% of your $10000
Exchange
Instrument
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Example trade · BTC long at $83k
Favorable R:R2.4:1

Losing half your trades at this ratio still leaves you ahead. The math works in your favour.

$80,500.00$83,000.00 entry$89,000.00
Min win rate to profit29.4%
Move target to $90,500.00 3:1. Win rate drops from 29.4% to 25.0%.

Add account size and leverage to see position sizing, liquidation price, and P&L.

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FAQ
Q.01

What is the R:R ratio and why does it matter?

Risk/Reward ratio is how much you stand to gain for every dollar you risk. A 3:1 ratio means a $300 potential gain on a $100 risk. Most systematic traders require at least 2:1 before entering. Below that, you need a very high win rate just to break even.

Q.02

How is position size calculated?

Position size = (account balance × risk %) ÷ |entry − stop-loss|. This ensures that if your stop is hit, you lose exactly your risk budget, no more. The calculation is independent of leverage.

Q.03

What does the verdict mean?

Strong (≥3:1): excellent setup, reward clearly justifies the risk. Good (≥2:1): solid, acceptable for most strategies. Marginal (≥1.5:1): borderline, consider tightening the stop or widening the target. Poor (<1.5:1): the reward does not justify the risk at current levels.

Q.04

What is liquidation distance?

How far price must move from your entry before the exchange force-closes your position. A wider distance means more buffer. It depends on leverage and the exchange maintenance margin rate (MMR). Lower leverage = wider liquidation distance.