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Position Size Calculator
Calculate the correct lot size for any trade based on your account balance, risk tolerance and stop loss distance.
How Position Size is Calculated
The position size formula ensures you never risk more than your chosen percentage on any single trade:
Risk Amount = Account Balance × (Risk % / 100)
Lot Size = Risk Amount ÷ (Stop Loss Pips × Pip Value)
Lot Size = Risk Amount ÷ (Stop Loss Pips × Pip Value)
Example: $10,000 account, 1% risk, 50 pip stop loss on EUR/USD:
Risk Amount = $100 → Lot Size = $100 ÷ (50 × $10) = 0.20 lots
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The 1% Rule
Professional traders risk no more than 1-2% of their account per trade. This ensures a losing streak won't wipe out your account.