Budget size — how much money you’ve got to invest with.
Entry price — the price at which you buy into an asset.
Risk size — how much money you’re willing to give up in each losing trade.
Position size — how much of an asset you’re buying.
Target price — the price point you want to leave a position at.
R — number that represents how much risk you’re taking on relative to the reward of a trade. R = reward / risk.
Reward — the percent difference between your entry price and your target price.
Risk — the percent difference between entry price and your exit point, or stop loss point.
Win rate — number of winning trades / total number of trades.