Learn → Module 2 → Lesson 4
Module 2 — Risk Management
Risk/Reward Ratios Explained: Trade Management for Consistent Profits
Key Takeaways
- ✓ Risk/reward ratio compares how much you risk against how much you aim to gain
- ✓ A 1:2 ratio means risking $1 to potentially make $2
- ✓ A good risk/reward ratio means you can be profitable even with a 40% win rate
- ✓ Never take a trade with a risk/reward ratio below 1:1.5
- ✓ Consistent application of good risk/reward is the foundation of long term profitability
← Previous Lesson
More lessons coming soon
🎉
Module 2 Complete!
You have completed the Risk Management module. More modules coming soon.
📖 Recommended Reading

Scaling Micro Accounts in Forex
by Armstrong Uzoagwa
The perfect companion to this course. The proven blueprint to grow a small forex account using smart leverage, discipline, and strategy.
Buy the Book