Position Sizing Calculator
Protect and preserve your principal.
Best 1 - 2%
Risk Amount
Lot Quantity
x
Lot Amount
Balance Capital
clear form
position sizing

Suppose you have $25,000 and decide to limit your risk exposure to 1.5% of your account balance, meaning you should not risk more than $375 per trade (which is 1.5% of $25,000). This way, even if you encounter 10 consecutive losses, your investment capital will only decrease by 15% ($3,750) .

Position sizing is the process of determining the size of a trade to be placed in the market. It is an important aspect of trading because it helps traders manage risk and determine their potential rewards.

Position sizing is typically determined based on a number of factors, including the trader‘s risk tolerance, the size of their trading account, and the stop-loss level for the trade. The goal is to determine a trade size that is consistent with the trader‘s overall risk management strategy and that allows them to achieve their desired level of potential reward.