Free trading calculator
Position size calculator: how many lots should I trade?
The most important calculator for a beginner. You decide how much you are willing to lose on a trade, and it tells you the lot size that keeps the loss at that amount if your stop loss is hit.
Open 0.05 lots (5,000 EUR). If price hits your stop loss 20.0 pips away, you lose about USD 10.00.
1 pip = USD 0.5000 at this size · USD 10.00 per 1.00 lot
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How to use the position size calculator
- Pick your account currency (USD, ZAR, KES, NGN, EUR or GBP) and type your balance.
- Choose what you are trading, for example EUR/USD or Gold.
- Type your risk per trade. 1% is a sensible start: on a 1,000 account that is 10. Tap “Use USD” (or your currency) to type an amount instead.
- Type your stop loss distance in pips. If you only know the prices, tap “I know the prices instead” and type the entry and stop loss price.
- Read the green box: it shows the lots to type into your platform and how much you lose if the stop loss is hit.
Example: a ZAR account trading USD/ZAR
- Balance R50,000, risk 2% = R1,000, stop loss 50 pips.
- On USD/ZAR one pip on 1.00 lot is worth R10, so 50 pips is R500 per lot.
- R1,000 ÷ R500 = 2.00 lots. If the stop is hit, you lose R1,000.
Common mistakes
- Choosing the lot size first and the stop loss second. Always set the stop where the trade idea is wrong, then let the calculator size the trade.
- Forgetting that the result is rounded down to 0.01 lots, so the real risk can be slightly below your target. That is on purpose.
- Ignoring spread: on wide-spread pairs like USD/ZAR, add a few pips to your stop distance.
Questions
What is a lot in forex?
A standard lot (1.00) is 100,000 units of the first currency in the pair. A mini lot is 0.10 and a micro lot is 0.01. Gold is usually 100 ounces per lot.
How much should I risk per trade?
Many experienced traders risk 0.5% to 2% of their account per trade. At 1%, ten losses in a row leave about 90% of your account; at 10% risk, they leave about 35%.
Why does my account currency matter?
Your profit and loss are paid in your account currency. A pip on EUR/USD is worth $10 per lot, which is a different amount in rand, shillings or naira, so the lot size changes.
Does this include spread and commission?
No. Add the spread to your stop distance, and remember commission on raw-spread accounts.
More free calculators
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- Profit and loss calculator
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- Risk/reward calculator
Is the trade worth it? Your reward versus your risk, and the win rate you need.
- Loss recovery calculator
Why big losses are hard to win back, and what a losing streak does.
Calculators are for education and planning. Results exclude spread, commission and swap, and brokers may use different contract sizes. Check your broker's contract specification before trading. Not investment advice.