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Jun 16 2008, 10:26
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![]() Mataf's VIP ![]() ![]() ![]() ![]() Group: Admin Posts: 2,413 Joined: 8-September 05 From: France Member No.: 1 Broker: Oanda Skype: forex.trader Demo/Real: Real Leverage: 1:5 |
What is the risk/reward ratio?
The risk/reward is the ratio between the potential gain and the potential loss. Example: We have a target at +100pips and our stop is at -50pips. Our risk/reward ratio will be 50/100 = 0.5 In the technical analysis we try to have a risk/reward < 0.5. Our potential gain should be twice of our potential loss. More the trend is clear more we accept high risk/reward. |
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Jun 16 2008, 10:26







