Calculate the exact position size for your trades based on your risk tolerance and stop-loss level. Never risk more than you can afford to lose.
Never risk more than you can afford to lose. This calculator is for educational purposes. Always double-check calculations with your broker's platform before placing trades.
Position sizing is the process of determining how many units or lots to trade based on your account size and risk tolerance. It's the cornerstone of risk management and the key to long-term trading survival.
Most professional traders never risk more than 2% of their account on a single trade. This means if you have a $10,000 account, you should risk no more than $200 per trade. This rule ensures you can withstand a series of losses without depleting your account.
Position Size = (Account Balance × Risk %) / (Stop Loss in Pips × Pip Value)