Position Size Calculator

Find the exact number of units to trade so a stop-out costs you only what you decided to risk — no more.

Risk per trade

Your position

Position size125 units
Amount at risk$250.00
Effective account risk1%
Risk per unit$2.00
Position value$12,500.00
Implied leverage0.5×

Free, no sign-up, nothing leaves your browser — all math runs locally.

How to calculate position size

Position sizing answers the only risk question that matters before you click buy: how many units can I trade so that, if my stop is hit, I lose no more than my predetermined risk? The math is simple and the same across stocks, forex, crypto, and futures:

Position size = (Account × Risk %) ÷ |Entry − Stop|

So on a $25,000.00 account risking 1% with a $2.00 gap between entry and stop, you'd take 125 units. Widen your stop and the position shrinks; tighten it and the position grows — but your dollar risk stays fixed. That's the whole point: the stop defines the size, not the other way around.

Why fixed-fractional risk wins

Risking a constant small fraction (the classic 1–2%) means no single trade can seriously dent your account, and a losing streak shrinks your bet size automatically — you risk less in dollar terms precisely when you're cold. It's the simplest defense against the one thing that ends trading careers: a position so large that being wrong is unrecoverable.

The calculator flags any trade above 2% account risk. If you're consistently reaching for more, the problem usually isn't the position size — it's a stop placed too tight for the setup, forcing you to size up to make the trade "worth it." A journal that tracks your actual risk per trade over time (TradeInsights does this automatically) is how you catch that pattern before it compounds.

Frequently asked questions

How does a position size calculator work?

It divides the dollar amount you're willing to risk (account balance × risk %) by the per-unit risk (the distance between your entry and stop-loss). The result is the largest position that keeps your loss within budget if the stop is hit.

How much should I risk per trade?

Most professional traders risk 1–2% of account equity per trade. At 1%, you can lose 20 trades in a row and still have ~82% of your account; at 5%, the same streak nearly halves it. Smaller, consistent risk is what survives variance.

Does this work for forex and crypto, not just stocks?

Yes. The entry-minus-stop method is universal — it sizes in 'units,' which are shares for stocks, coins for crypto, or base units for forex. For forex lots, divide the unit result by your contract size (e.g. 100,000 for a standard lot).

What is 'implied leverage' in the results?

It's your position value divided by your account balance. A 5× implied leverage means the position controls five times your account — fine for futures/forex, but a flag if you didn't intend to use margin on a stock or spot crypto trade.

Is anything saved or sent anywhere?

No. The entire calculation runs in your browser — nothing is uploaded, stored, or logged. Create a free TradeInsights account only if you want your real trades' position sizing tracked automatically over time.

Stop recalculating size by hand on every trade

TradeInsights tracks your risk per trade automatically and shows you when your sizing discipline slips — connect a broker and see your real numbers.

14-day Premium trial included. No credit card required.

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