Position Size Calculator

Calculate the correct trade position size based on account size and risk tolerance.

Position Size
$5,000
Risking $100

How This Works

This determines how large a position to take so that if your stop-loss is hit, you lose only your predetermined risk percentage of your account โ€” a core risk-management practice for consistent trading.

Formula

Position Size = (Account × Risk%) ÷ Stop-Loss%

Example

A $10,000 account risking 1% per trade with a 2% stop-loss distance gives a $5,000 position size ($100 at risk).

Frequently Asked Questions

How much should I trade with a 1% risk on $10,000?

A position size of $5,000, risking $100.