Position Size Calculator
Calculate the optimal position size for a trade based on account balance, risk percentage, entry price, stop loss, and leverage.
Published by:
isCalculator Editorial Team
Was this calculator helpful?
How to use this tool?
This calculator helps you determine the correct position size for a trade based on your account balance, risk tolerance, and stop-loss distance.
- Enter Account Balance – Your total trading account funds (e.g., $10,000).
- Set Risk Percentage – The portion of your account you’re willing to lose on this trade (e.g., 1% = $100 risk).
- Input Entry Price – The price at which you enter the trade (e.g., $100).
- Input Stop Loss – The price where you’ll exit if the trade moves against you (must be lower than entry price, e.g., $95).
- Set Leverage – The multiplier (1 for no leverage, 10 for 10x, etc.).
- Click “Calculate Position Size” – The tool shows:
- Risk Amount – The dollar amount you’re risking (balance × risk %).
- Position Size – The number of units to trade (e.g., shares, lots).
Formula used: Risk Amount = Balance × (Risk % / 100). Position Size = (Risk Amount × Leverage) ÷ (Entry Price – Stop Loss).
Tip: All inputs must be positive numbers. Stop loss must be less than entry price. Leverage must be at least 1.
Previous Results
| Result | Inputs | Date |
|---|
Frequently Asked Questions
Position size refers to the number of units or shares you trade in a single transaction. It is calculated based on your account balance, risk tolerance, entry price, stop loss, and leverage to manage risk effectively.
Enter your account balance, the percentage you are willing to risk, entry price, stop loss price, and leverage. Click 'Calculate Position Size' to see your risk amount and the number of units to trade.
Position sizing helps you manage risk by ensuring you do not risk more than a predetermined percentage of your account on any single trade, which is crucial for long-term trading success.
