Maximize your trading success with Zentrix.ai’s advanced Risk–Reward Calculator. This interactive tool is designed to help traders of all levels optimize risk management and improve trade decisions. By instantly calculating key metrics such as risk per share, reward per share, risk-to-reward ratio, dollar risk, and optimal position size, you can set precise entry points, stop-loss levels, and profit targets.
Stock Market Risk–Reward Calculator
Risk per Share: $
Reward per Share: $
Risk–Reward Ratio: 0
Dollar Risk: $0.00
Optimal Position Size: 0 shares
How to Use the Tool
1. Enter Trade Parameters:
Begin by entering your trade details—input the Entry Price, Stop-Loss, and Profit Target into the provided fields. These values form the foundation of your risk management strategy.
2. Specify Your Account Details:
Enter your Account Balance and set your Risk Tolerance (as a percentage). This information determines the dollar amount you’re willing to risk on each trade.
3. Instant Calculations:
As you fill in your details, the calculator instantly computes:
Risk per Share: The difference between your entry price and stop-loss.
Reward per Share: The difference between your profit target and entry price.
Risk-to-Reward Ratio: A quick assessment of your trade’s potential profitability.
Dollar Risk: The total amount you’re risking based on your account balance and risk tolerance.
Optimal Position Size: The number of shares to trade to keep your risk within acceptable limits.
Visualize Your Trade: An interactive chart displays the risk versus reward values in real time, offering a visual representation that helps you easily compare and adjust your trade setup.
Make Informed Decisions:
Use the calculated insights to refine your trading strategy, ensuring you maintain a balanced approach to risk management and maximize your potential gains.