Position size calculator

Position size is the quantity that loses a fixed share of your capital if your stop is hit. Divide the amount you are willing to risk (capital × risk %) by the distance between entry and stop. With ₹2,00,000 capital, 1% risk, entry 300 and stop 280, you risk ₹2,000 at ₹20 per unit, so the size is 100 units.

Quantity: 100
Lots: 100
Risk if stopped: 2,000
Position value: 30,000

How it is calculated

Risk amount = capital × risk % ÷ 100
Risk per unit = |entry − stop|
Quantity = risk amount ÷ risk per unit, rounded down to whole lots

Worked example

Capital 2,00,000 at 1% risk gives a risk amount of 2,000. Entry 300 and stop 280 risk 20 per unit, so 2,000 ÷ 20 = 100 units. With a lot size of 30 you round down to 3 lots (90 units) and risk 1,800.

Educational maths only. Not investment advice.

Questions

What risk per trade should I use?

That is your decision and depends on your plan. Many traders write a maximum risk rule such as 0.5–1% and keep it fixed. This calculator only does the arithmetic.

Why round down?

Rounding up would risk more than your rule allows. Rounding down keeps the loss at or below your limit.

Track these numbers automatically

DisciplineTrade records risk, R-multiples and charges for every trade, and scores your discipline. Free.

Start free

Position size calculator