What is r ratio (reward-to-risk)?
How much you stand to make versus how much you can lose on a single trade.
How much you stand to make versus how much you can lose on a single trade.
R ratio (reward-to-risk), explained
You set a stop loss (where you cut the trade) and a target (where you take profit). Reward-to-risk is the distance to your target divided by the distance to your stop. A 2:1 R means you stand to make twice what you risk if both prices hit. Higher is better — but only if your win rate holds.
A worked example
Buy AAPL at $186, stop at $184 (risk $2), target $192 (reward $6). R = $6 / $2 = 3.0R.
Where r ratio (reward-to-risk) shows up in a journal
A trading journal is where this stops being a definition and becomes your own number. sizeforzero computes it from the trades you import or log, alongside the rest of your analytics vocabulary, and every figure in the app carries an (i) that explains it in the same plain English you just read.