EdgeSync Trading Tool

Forex & Gold Risk–Reward Calculator

Q: What does a 1:3 risk–reward ratio mean?

It means one unit of planned price risk is paired with three units of planned reward distance.

Q: How do I calculate break-even win rate?

Ignoring costs, divide one by one plus the reward-to-risk multiple. A 1:2 structure has a theoretical break-even rate of about 33.33%.

Q: Does a higher R:R mean a better trade?

No. Risk–reward describes stop and target geometry only; it does not establish probability or trade quality.

Q: How do I calculate XAUUSD risk–reward?

Enter Gold entry, stop and target prices. EdgeSync converts distance using its shared XAUUSD convention of 1 pip = 0.10 price units and 1 tick = 0.01.

Q: Can I calculate R:R using pips instead of prices?

Yes. Use By Distance and choose Pips.

Q: What target price gives me 2R or 3R?

Use the Target from desired R section with entry, stop and the desired R multiple.

Measure the risk and reward structure of a Gold or Forex setup using price, pips or ticks—without turning the result into a trade recommendation.

Risk–RewardGold + ForexPrice + DistanceFree tool

Risk–Reward

Structure only—not a probability forecast.

Calculated

Risk–Reward Ratio

1 : 2.00

2.00R reward multiple

Risk Distance8 price • 80 pips • 800 ticks

Reward Distance16 price • 160 pips • 1,600 ticks

Break-Even Win Rate33.33%

DirectionLong

Break-even win rate is the theoretical rate implied by the R:R structure before spreads, commissions, slippage and other costs.

A higher reward-to-risk ratio does not by itself imply a higher probability of success or a better trade.

Need help understanding your trade structure?Ask EdgeSync directly — no form required.

Chat on WhatsApp

What risk–reward means

Risk is the distance from entry to stop. Reward is the distance from entry to target. A 1:2 structure means the planned reward distance is twice the planned risk distance.

Reward-to-risk = Reward distance ÷ Risk distance

R multiple and break-even rate

2R means the reward distance is two times the risk distance. The break-even win rate is the theoretical rate implied by that geometry before spreads, commissions, slippage and other costs.

Break-even rate = 1 ÷ (1 + R)

Risk–Reward Calculator FAQ

What is a risk–reward ratio?

It compares the planned loss distance from entry to stop with the planned gain distance from entry to target. A 1:2 ratio means the reward distance is twice the risk distance.

How do I calculate risk–reward?

Calculate the absolute entry-to-stop distance and entry-to-target distance, then divide reward by risk. This calculator performs the same calculation with exact decimal arithmetic.

What does 2R mean?

2R means the planned reward distance is two times the planned risk distance.

What does a 1:3 risk–reward ratio mean?

It means one unit of price risk is paired with three units of planned reward distance.

How do I calculate break-even win rate?

Ignoring costs, break-even win rate is 1 divided by 1 plus the reward-to-risk multiple. A 1:2 structure therefore has a theoretical break-even rate of about 33.33%.

Does a higher R:R mean a better trade?

No. R:R describes the geometry of the stop and target only. It does not establish probability, execution quality or market context.

How do I calculate XAUUSD risk–reward?

Enter Gold entry, stop and target prices. EdgeSync displays the price distances and equivalent pips/ticks using the shared XAUUSD convention of 1 pip = 0.10 price units and 1 tick = 0.01.

Can I calculate R:R using pips instead of prices?

Yes. Choose By Distance and select Pips. The calculator normalizes pip distance through the instrument specification before calculating the ratio.

What target price gives me 2R or 3R?

Open Target from desired R, enter entry and stop, and choose the desired R multiple. The calculator derives the corresponding long or short target price.

Mentorship The Golden Book Community Research Trading Tools EdgeSync Trading

Continue with EdgeSync

R:R is one part of a complete execution process.

The calculator measures structure. EdgeSync education, research and community focus on context, execution discipline and risk awareness around that structure.

Visit EdgeSync Trading

Structured education