risk to reward setup gate

The problem

Traders often enter positions based on intuition or partial data, leading to poor expectancy and blown accounts. Manual calculation of risk-to-reward ratios for multiple targets is slow and prone to errors during fast-moving market conditions.

What it does

• Calculates absolute risk based on entry and stop-loss price differentials.
• Computes reward potential across multiple price targets simultaneously.
• Determines precise risk-to-reward (RR) ratios for every exit level.
• Acts as a logic gate to reject any trade setup that falls below your minimum RR threshold.

Why this beats prompting it yourself

General LLMs often struggle with precision arithmetic and floating-point comparisons required for financial safety logic. This skill provides a deterministic mathematical framework that ensures your trading agent never "hallucinates" a favorable ratio on a sub-optimal setup.

Use cases

• Filter automated signal alerts to only execute high-probability setups.
• Audit manual trade ideas against strict risk management parameters.
• Calculate position sizing requirements based on validated RR thresholds.
• Verify stop-loss placement versus multiple take-profit zones.