T-04Instrument
Risk / reward calculator
Compare how much you might lose versus how much you hope to gain on a defined idea. Adjust inputs to see how outputs move. For learning, not a recommendation.
- Runs in
- Your browser
- Your inputs
- Stay on your device
- Output
- Arithmetic on your inputs
- Assumptions
- Stated in the notes
Run the risk / reward calculator
Change a few inputs, read the summary, and reset if you want to compare cases. Outputs update as you edit so you can see how sensitive each result is to your assumptions.
Risk / reward
2.25x
Reward dollars divided by risk dollars per share.
Position size
312
Maximum shares before you exceed the trade risk budget.
Capital required
$31,200
Approximate gross exposure at the chosen entry.
Trade framing
Per-share risk
$8
Per-share reward
$18
Risk budget
$2,500
This framework assumes a single trade with one stop and one target. If your stop is likely to slip in fast markets, size down before you size up.
Output is arithmetic on the inputs above. It leaves out taxes, fees and timing unless the panel says otherwise, and it is not a forecast.
What to look for
Inputs
Small changes first—see which numbers move the most.
Outputs
Charts and short text explain the result in plain language.
Limits
Models simplify real life. Taxes, fees, and timing can differ for you.
Not investment advice
Articles and calculators on this site are for learning. They are not a recommendation to buy or sell any security, and they are not tailored to your personal situation.
- Education vs personal advice. If you work with an adviser, that relationship has its own agreements and disclosures. Reading here does not replace that.
- No outcome guarantees. Markets are uncertain. We write to explain ideas and trade-offs—not to promise returns or timing.