R-multiple calculator: your result relative to your risk
Thinking in R makes your trades comparable, no matter how large the position was. This calculator shows you how many R a trade returned, measured against the amount you initially risked.
Enter your initial risk (1R) and the actual result of the trade. The calculator shows you the R-multiple. A gain of twice your risk is 2R, a loss equal to your risk is minus 1R.
Calculate R-multiple
Why think in R
Make trades comparable
Measured in R, a small and a large trade are directly comparable. The R-multiple separates your result from the position size and shows the actual quality of the trade.
Take the emotion out
Those who think in R see a loss as minus 1R rather than a concrete sum of money. That takes some of the emotional weight out of it and helps you stay calm.
Evaluate your system
Across many trades, the sum of your R-multiples shows whether your approach has a positive expectancy, regardless of how large your individual positions were.
Discipline made measurable
Thinking in R fits exactly with FlowTrader's focus: risk first, result relative to it. That turns discipline into a number you can keep an eye on.
Common questions about the R-multiple
An R-multiple describes the result of a trade relative to the amount you initially risked, the 1R. If you earn three times your risk, that is a gain of 3R; if you lose exactly your risk, that is minus 1R. This makes trades comparable regardless of the position size.
Because R makes your trades comparable and takes the emotion out. A loss of minus 1R feels more level-headed than a concrete amount of money and slots cleanly into your system. Across many trades, the sum of your R-multiples shows the true quality of your approach.
That depends on your style, but many traders aim for winners of at least 2R, that is twice as much reward as risk. More important than a fixed target is that your average winners are larger than your average losers across many trades.