Position Size Calculator
Calculate the optimal lot size for your trades based on your account balance, risk tolerance, and stop loss distance.
Calculate Position Size
Enter your risk parameters to find the optimal position size
Recommended Position Size
Select a currency pair to begin
Choose an instrument from the dropdown above
The 2% Rule
Many successful traders follow the 2% rule: never risk more than 2% of your account on any single trade. This helps survive losing streaks while keeping your account intact.
Position Sizing Tips
• Always set your stop loss before calculating position size
• Round down to the nearest lot your broker allows
• Consider reducing size during volatile markets
Position Size Formula
The position size formula calculates how many lots to trade based on your risk parameters:
Step 1: Calculate Risk Amount
Risk Amount = Account Balance × (Risk % ÷ 100)Step 2: Calculate Lots
Position Size (Lots) = Risk Amount ÷ (Stop Loss × Pip Value)Example: With a $10,000 account, 2% risk, 50 pip stop loss, and $10 pip value:
- Risk Amount: $10,000 × 0.02 = $200
- Total Risk per Lot: 50 pips × $10 = $500
- Position Size: $200 ÷ $500 = 0.40 lots
