Calculate optimal position size based on your risk tolerance
The position size calculator determines how much of an asset to buy or sell based on your risk tolerance. It divides your risk amount (account balance × risk percentage) by the stop loss distance to find the optimal position size.
For example, with a $10,000 account risking 2% per trade and a stop loss 2% away from entry, the calculator determines you can trade with a position worth $10,000. With leverage, your required margin decreases proportionally.
Professional traders typically risk 1-3% per trade to survive losing streaks. This calculator helps maintain consistent risk regardless of asset price or volatility.