How to use the Position Size Calculator
- Enter the account balance or equity you want to risk from.
- Set the exact risk percent for this idea, not your maximum account risk.
- Enter the stop distance in pips from entry to invalidation.
- Use the pip value for one standard lot in your account currency.
- Read the lot size, estimated units, and loss at stop before placing the order.
Formula
Risk amount = Account balance x Risk percent
Lots = Risk amount / (Stop loss in pips x Pip value per lot)
Units = Lots x 100,000Example
On a $10,000 account risking 1% with a 25 pip stop and $10 pip value per lot, the risk amount is $100 and the position size is 0.40 lots.
What to watch
- This is a sizing calculator, not a trade recommendation.
- If the account currency differs from the quote currency, adjust the pip value before trusting the lot output.
- Commissions, swaps, and slippage can make the real loss larger than the clean stop math.
Frequently asked questions
What is a good risk percent?+
Many systematic traders start by checking 0.25% to 1% per trade. The right number depends on drawdown tolerance, strategy variance, and any prop-firm rules.
Why does lot size fall when my stop gets wider?+
The risk amount stays fixed, so a wider stop spreads the same risk across more pips. That requires fewer lots.
Can I use this for gold or indices?+
Yes, but replace the forex pip value with the broker-specific tick or point value for that symbol.