Profit & Loss Calculator

Before you place a trade, it’s important to know the returns it could make and how it could lose. This calculator works out the profit or loss of a trade in your chosen account currency, along with its risk–reward ratio and the win rate you need to break even.

How To Use The Calculator

1. Choose the market. Pick Forex for currency pairs or Stocks / CFDs / crypto for anything priced per share or unit.
2. Choose the direction. Buy (long) profits when the price rises. Sell (short) profits when it falls.
3. Enter the trade size. For forex, pick the pair and enter the size in lots. For other markets, enter the number of shares or units and the currency the instrument trades in.
4. Enter the entry and exit prices. The exit can be a planned target or the price you actually closed at.
5. Add a stop loss and take profit (optional) to see the trade’s risk–reward ratio.

The result shows your profit or loss in your account currency, the price move (in pips for forex), the return on the position value, the risk–reward ratio and the break-even win rate.

Risk–Reward And The Break-Even Win Rate

The risk–reward ratio compares what you stand to gain with what you stand to lose. A trade with a 20-pip stop and a 40-pip target has a risk–reward of 1:2, which is a fairly commonly used ratio, used by some of our team in their own trading.

The break-even win rate tells you how often trades like this must win for you to come out even over time:

Break-even win rate = 1 ÷ (1 + reward ÷ risk)

At 1:1 you need to win 50% of the time. At 1:2 you need only 33%, and at 1:3 just 25%. This is why many traders look for setups where the potential reward is clearly larger than the risk.

Example

You buy 1 lot of EUR/USD at 1.0850 and sell at 1.0870. The price moved 20 pips in your favor, and with $10 per pip that is a profit of $200 in a US dollar account. If your stop loss was at 1.0830, you risked $200 to make $200, a risk–reward of 1:1.