Add your account size and the % you'll risk to size the position.
At this ratio you only need to win more than 28.6% of trades (ignoring fees) to come out ahead.
Educational tool, not financial advice. Outcomes are not modelled for fees, slippage or funding, and past results never guarantee future ones.
Get signals with entry, stop and targets already set →How to use it
- 1Pick your direction. Long if you expect price up, short if you expect price down. This flips which side the stop-loss and target sit on.
- 2Enter your three levels. Entry price, stop-loss (where the idea is wrong), and take-profit target. The stop is your defined risk; never trade without one.
- 3Read the ratio. The calculator shows reward-to-risk, the % move to each level, and the win rate you'd need just to break even at that ratio.
- 4Size the position (optional). Add your account size and the % you'll risk per trade to get an exact position size and your dollar risk and reward.
Why the ratio alone doesn't tell you if a trade is good
A reward-to-risk ratio is only half the picture. The other half is your win rate. A 1:3 setup sounds great, but if you only win 1 in 5, you lose money. A modest 1:1.2 setup can be highly profitable if you win 65% of the time. That is why this tool surfaces the break-even win rate for every ratio: it is the bar your strategy has to clear to make money.
The two numbers together are how disciplined trading works — known, capped risk on every trade, a ratio that pays you fairly when you're right, and a win rate you can actually verify over a large sample. That is exactly the lens behind every Ezath signal: a defined entry, an ATR-based stop-loss, and take-profit targets, all logged to a public track record so the win rate isn't a claim, it's a number you can check.
Risk/reward calculator FAQ
What is a risk/reward ratio?+
The risk/reward (or reward-to-risk) ratio compares how much you stand to lose if a trade hits your stop-loss versus how much you stand to gain if it hits your target. A 1:2 ratio means you risk $1 to potentially make $2. You calculate it as (distance from entry to target) ÷ (distance from entry to stop-loss).
What is a good risk/reward ratio for crypto?+
Many disciplined traders look for at least 1:2 — risking one unit to make two. The honest answer is that no single ratio is 'good' on its own: a 1:3 setup with a 20% win rate loses money, while a 1:1.2 setup with a 65% win rate makes money. The ratio only matters alongside your win rate, which is why this calculator also shows the break-even win rate.
What is the break-even win rate?+
It is the percentage of trades you need to win, at a given reward-to-risk ratio, just to break even (before fees). The formula is 1 ÷ (1 + ratio). At 1:2 you need to win more than ~33% of trades; at 1:1 you need more than 50%. It tells you how forgiving — or demanding — a setup is.
How do I calculate position size from risk?+
Decide how much of your account you're willing to risk on the trade (commonly 0.5–2%). That dollar amount, divided by the per-unit distance from your entry to your stop-loss, is your position size in units. Enter your account size and risk % above and the calculator does it for you.
Does this account for leverage and fees?+
No. This is a clean risk/reward and sizing tool based on price levels only. It does not model leverage, exchange fees, funding or slippage, all of which affect real outcomes. It is educational, not financial advice.
Stop calculating levels by hand
Ezath signals come with the entry, stop-loss and targets already set for BTC, ETH and SOL — and a public track record so you can check the win rate yourself. Start free, no card.