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Another vital tool for experienced, or novice traders, this calculator is essential for managing your risk per trade and monitoring your overall exposure into the market.
Example: Once again using our standard EUR/USD currency pair. You want to only risk 1% of your account per trade. You want to have your stop only 25 pips away from the current price. You have an account size of $50,000, therefore you’ll be using a position size of two lots. In effect you’ll be risking $500 on the trade, should your stop loss be activated this will be your loss.
*one lot equals 100,000 units.
Calculate optimal position size based on your risk parameters
Always verify calculations with your broker's specifications before trading.
