Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Risk disclosure

Position size calculator

Good risk management starts with position size. Decide how much of your balance you are willing to lose if the stop loss is hit, and this calculator tells you the lot size that matches it.

%
pips
Position size
0.20 lots
Amount at risk
50.00 USD
Pip value per lot
10.00 USD
Units
20,000

Indicative prices, not a live feed. Your MT5 platform shows live prices and exact values before you trade.

HOW TO USE

How to use the Position size calculator

  1. Enter your account balance and pick the account currency.
  2. Choose the % of your balance you are willing to risk on this trade (many traders use 1–2%).
  3. Enter the distance to your stop loss in pips.
  4. Choose the instrument and read the lot size, rounded down to 0.01 lots.
WORKED EXAMPLE
  • Balance: 5,000 USD
  • Risk: 1%
  • Stop loss: 25 pips
  • Instrument: EURUSD
Amount at risk: 5,000 × 1% = 50 USD
Pip value per lot on EURUSD: 10 USD
Lot size: 50 ÷ (25 × 10) = 0.20 lots

Trade 0.20 lots, so a 25-pip stop costs at most $50.

FAQ

Frequently asked questions

What is position sizing?

Position sizing means choosing the number of lots so that, if your stop loss is hit, you lose only the amount you planned, for example 1% of your balance.

How much should I risk per trade?

Many traders risk 1–2% of their balance per trade so a run of losses doesn't wipe out the account. The right level depends on your own situation and experience.

Why is the lot size rounded down?

MT5 accepts lot sizes in steps of 0.01. Rounding down keeps your actual risk at or below the amount you chose.

Does the stop loss guarantee my maximum loss?

No. In fast markets or over weekend gaps, a stop loss can be filled at a worse price than requested, so the real loss can be larger.

MORE TOOLS

Other trading tools

Put it into practice.
Open an account in minutes, or try your plan on a free demo first.

Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Calculator results are estimates based on indicative prices and are not investment advice. Risk disclosure