R-Multiple
R-multiple (or R-multiples) expresses a trade's outcome as a multiple of the initial risk. If you risk $100 on a trade and make $250, your R-multiple is +2.5R. If you lose $80, it's -0.8R.
Formula
Example: Risk $100, make $300 → +3R. Risk $100, lose $100 → -1R.
Why it matters for traders
R-multiples allow you to compare trade quality independent of account size, position sizing, or instrument type. A trader making +2R consistently on a $1K account has the same quality edge as one making +2R on a $100K account.
How Tradapt tracks this
Tradapt tracks R-multiples across your trade history. In Analytics, see your average R per trade, per setup, and across time to measure your edge quality objectively.
Track this free in TradaptFrequently asked questions
What is a good R-multiple?
A positive average R-multiple means your strategy has positive expectancy. Most successful traders target average R-multiples of +0.5R to +2R per trade depending on their win rate and strategy type.
How do I calculate R-multiple?
Divide your trade's P&L by your planned risk amount. If you risked $200 and made $500, your R is +2.5. If you risked $200 and lost $160, your R is -0.8.