Position Size Calculator

Position Size Calculator – Calculate Lot Size & Risk Per Trade (Free Tool)

Use our Position Size Calculator to calculate the perfect lot size based on your risk percentage, stop loss, and account balance. Essential tool for forex, crypto, and stock traders.

What is Position Size in Trading?

Position size is the number of lots or units you trade based on your risk tolerance.

It ensures you don’t lose too much on a single trade.

Position Size Formula

$$Position\ Size = \frac{Account\ Risk}{Stop\ Loss \times Pip\ Value}$$

Example

• Account Balance: $1000
• Risk: 1% → $10
• Stop Loss: 50 pips
• Pip Value: $10

👉 Position Size = 0.02 lots

Why Position Size is Important

1. Risk Management
   • Protect your capital
2. Consistency
   • Avoid emotional trading
3. Professional Trading
   • Used by hedge funds

Common Mistakes

• Over-leveraging
• Ignoring stop-loss
• Risking too much per trade

Pro Tips

• Risk only 1–2% per trade
• Always calculate before entry
• Combine with risk-reward strategy

Final Thoughts

Position sizing is the secret weapon of profitable traders.

It’s not about how much you win —
it’s about how much you protect 💰