Position Size Calculator

Calculate the ideal quantity and lot size for your trade based on risk management rules.

Calculation Result

Maximum Risk Amount 0
Risk Per Share 0
Suggested Quantity 0
Total Position Value 0

What is Position Size?

Position size means the number of shares, lots or quantity you should buy or sell in a single trade according to your capital and risk management strategy.

Proper position sizing helps traders avoid major losses and manage risk effectively.

Why Position Sizing is Important?

  • Protects trading capital
  • Prevents overtrading
  • Reduces emotional trading
  • Helps long-term consistency
  • Improves risk management

Position Size Formula

Formula:

Maximum Risk = Trading Capital × Risk %

Risk Per Share = Entry Price − Stop Loss

Position Size = Maximum Risk ÷ Risk Per Share

Example Position Size Calculation

Suppose your trading capital is ₹1,00,000 and you want to risk only 2% per trade.

  • Capital = ₹1,00,000
  • Risk = 2%
  • Maximum Risk = ₹2,000
  • Entry Price = ₹100
  • Stop Loss = ₹95
  • Risk Per Share = ₹5
  • Quantity = 400 shares

Best Risk Percentage for Trading

Most professional traders risk only 1% to 2% of total capital per trade.

Lower risk percentage helps traders survive losing streaks and maintain consistency.

Frequently Asked Questions

What is the best position size?

The best position size depends on your capital, stop loss and risk tolerance.

Is this calculator free?

Yes, this trading position size calculator is completely free.

Can beginners use this calculator?

Yes, beginners can easily calculate ideal quantity and risk management.

Join Free Telegram

Get free trading levels, market analysis and option signals.

Join Telegram