The Ugly Truth About Risk To Reward Ratio (95% Of Traders Get It Wrong)

In today's episode, you'll discover the ugly truth about risk to reward ratio (95% of traders get this wrong).

So go watch it now...** FREE TRADING STRATEGY GUIDES **

** PREMIUM TRAINING **

[nobodys]

it would be really nice if you could do a live trade so we can learn directly and implement when to use this and that.

[stryker]

1:1 is going to be king then😅
Because it gives me aproxx 76% of winning rate according to the market structure

[stefstaf]

You're the man Rayner !! At last someone addressing this issue. I had to find out the hard way, so many winning trades turn losers just waiting to reach this 2 to 1 W/L ratio.
As soon as I stopped this nonsense, I started seeing profits in my account. Pocket any 1 to 1 winner and live to trade another day. Great video.

[musicroad]

wrong maths. Every time you win or loose its % of your capital. So if you loose 95 times in a row (1%+95*0, 01%) the time that you win, your capital it will be x% less. so the profit will be 10% of your almost half capital.

[DubaiiMakavelii]

I just focus on 1:2, 1:3 max now. I learned my lesson. In & out ‼️

[gslvqz]

This is exactly what I was thinking... the risk to reward ratio does not make much sense, and it is even worse when the money to invest is not very much....let's say you are looking for a trade with a 1 to 3 ratio, where for every dollar, you will make 3 dollars (you are talking that you will need to find a trade that will give you 300% of what you put in)... is not very likely.

[MasterWrn]

1:2 or 1:3 is key. Negative RR is for wealthy ppl trading 50 lots per trade.

[KINGRIDEZ]

I’m new in trading stocks just 2 days and I’m glad I have landed on this content thanks a lot

Meanwhile I made my very first $2 profit 😀😀

[giftbenjamin]

Lisa_upfx att lnsta’gram is my mentor and she taught me how to handle the financial market since I made more profit in trading and all thanks to her for helping me, God bless you ma, for helping me prepare for what is to

[sammyt]

Hey hey ... great vid Rayner my friend. Love what you put out and explain. :)

[Nietzschian_Nihilist]

The ugly truth about risk to reward ratio is... it's actually "Reward to Risk" ratio 😜

[jasonwealth]

Hey Rayner. Could you do a video explaining what happens when the fed rate remains unchanged

[thumperbumper]

Risk to reward....you actually have to win the right percentage of trades. Most just lose all trades and go broke.

[fixmaster]

Well this is actually a thing in my mind, someone just said u should have 1 to 2 risk reward ration, but what they dont know, to go to pass that 1:1 is another risk it self, as it can go to yours 1:1 and pull back to the price you entry and suddently go to your stoploss

[the.rumers]

Thanks for sharing Ryan 👍🏼 couldn’t agree more than this

[davidhoward]

I trade what I see, if my next zone is less than a 1:1 RR I still target it, if my next zone is 3:1 away I take it because more often than not those zones are going to hit.

[Greatvideo]

Hi rayner i wandered here coz i thought your videos are for btc traders. But I do have a lot of learning in trading forex and stock market now. Thanks to you :)

Hey can I use these techniques in trading btc?

[mpho]

I was ready to type and disagree with you, until I listened all the way through.... You adjust your risk to reward to to be suitable to your win rate. Your win rate is a clear snapshot of your trading journey, it tells your abilities and your shortcomings, and honestly mathematically the numbers don't lie, if you only do 30% - 40%, that's the numbers telling you to stick to a R:R suitable enough to accomodate you win rate, I realized this taking a bath the other day.

[ricardoneves]

In theory you are correct, that the Risk/Reward ratio in itself is meaningless, however this video is also a bit (maybe more than a bit) misleading.

So what is a winning rate? Nothing but the ratio of the times one gets profits over losses. In other words, the rate you exited a position at the reward level instead of the stop loss level. So the winning rate is in itself an implied R/R.

Hence, a strategy + r/r = win rate,

You gotta optimize you ratio to your strategy. That’s why many folks here say that “the x:y ratio works best for me”.
Another option is to optimize you strategy if you rather stick with a given ratio.

Use a simulator to test which ratio maximizes you profits for a given strategy, or vice versa.

Nothing in the markets is simple. Or it is complicated.

Hope this helps y’all’s.

[josephmwanzia]

You inspire me daily..I'll become a great trader soon✌. Keep doing the good work.