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What is Risk-Reward Ratio?

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리스크 리워드 비율

The ratio of the targeted profit to the loss being risked. It differs from the reward-to-risk ratio in that it is a plan figure calculated before entry, while the latter is an after-the-fact tally. However good the planned ratio, it remains only a number on paper if one does not check whether the target is realistically reachable.

Risk-Reward Ratiodistance to targetStopmeasured from entrythe distance above and belowis compared

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Risk-Reward Ratio meaning — Trading glossary | MarketSurfer