Breakeven Win Rate Calculator
Calculate the minimum win rate needed to be profitable given your risk/reward ratio.
Understand the math behind trading profitability.
Breakeven win rate is the minimum percentage of trades you must win to avoid losing money, given your average risk-to-reward ratio.
Breakeven Win Rate = 1 / (1 + Risk:Reward Ratio) × 100
Or equivalently:
Breakeven Win Rate = Average Loss / (Average Win + Average Loss) × 100
R:R ratio vs. required win rate:
- 1:0.5 → 66.7% (hard to achieve consistently)
- 1:1 → 50.0%
- 1:1.5 → 40.0%
- 1:2 → 33.3%
- 1:3 → 25.0%
- 1:5 → 16.7%
- 1:10 → 9.1%
The tradeoff: Higher R:R ratios require lower win rates BUT are harder to achieve because take profit targets are further from entry. The key is finding the sweet spot where your actual win rate exceeds the breakeven threshold by a meaningful margin.