Forex Risk/Reward Calculator
Compare stop and target distances in pips and see the win rate needed.
Please note: Forex trading carries a high risk of loss, amplified by leverage. Exchange rates must be entered manually — no live market data is used.
What the Forex Risk/Reward Calculator does
Working in pips makes risk/reward directly comparable across pairs. The ratio between your stop and target sets the minimum win rate your strategy needs to break even.
Formula
Ratio = Target pips ÷ Stop pipsBreak-even win rate = 1 ÷ (1 + Ratio) × 100Risk = Stop pips × Pip value
Inputs explained
| Input | Unit | Required | Notes |
|---|---|---|---|
| Stop-loss distance | pips | Yes | Accepts more than 0. |
| Take-profit distance | pips | Yes | Accepts more than 0. |
| Trade size (lots) | number | Yes | Accepts more than 0. |
| Lot type | one of 4 options | Yes | — |
| Pip size | one of 3 options | Yes | — |
| Quote → account currency rate | number | Yes | Accepts more than 0. |
| Currency | one of 10 options | Optional | — |
How to use it
- Choose Lot type and Pip size.
- Enter Stop-loss distance, Take-profit distance, Trade size (lots) and Quote → account currency rate.
- Select Calculate.
Worked example
A 30-pip stop with a 90-pip target on one standard lot.
- Stop
- 30
- Target
- 90
- Lots
- 1
1:3 ratio, $300 risk against $900 reward, needing only a 25% win rate.
Frequently asked questions
Is a wide target always better?
No. Targets far from realistic price action rarely fill. A 1:5 ratio that hits 10% of the time is worse than a 1:2 that hits 45%.