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Risk Reward Ratio Indicator Demo

Investment in the capital markets is risky. Some transactions close with losses, so risk management is very important. There are many tools for risk controlling. One of them is Risk Reward Ratio indicator.

It is used by many investors to compare the expected returns of an investment to the amount of risk undertaken to capture these returns. This ratio is calculated mathematically by dividing the amount he or she stands to lose if the price moves in the unexpected direction (i.e. the risk) by the amount of profit the trader expects to make when the position is closed (i.e. the reward).

Using this indicator, you can check, how much your risk is relative to the profit you can get. If you always place orders in market with Risk Reward Ratio higher than 2 and you have min. 50% of accurate orders, then your account balance will grow systematically.

The demo version works only on EURUSD.

Maksym Mudrakov
2016.08.31 08:09 

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Version 3.2 - 2015.08.28
Adjusted pip value computation for some brokers.
Version 3.1 - 2015.06.17
- auto adjust indicator's lines to current price on every tick
- automatic lots calculation based on fixed risk % and stop loss distance
Version 3.0 - 2015.02.16
- possibility of placing Risk Reward Ratio lines on existing order with StopLoss and TakeProfit (auto adjust)
- possiblity of changing the indicator's panel location
Version 2.0 - 2014.10.20
- Estimate stop and target distance in account currency.
- Calculate a percentage of account risk.