Enter your balance, risk percentage, entry and stop loss to find the position size that keeps your loss to the amount you chose.
Risk-based position sizing starts with how much you are willing to lose on one trade, set as a percentage of your account. If you have 10,000 USDT and risk 1%, you accept losing 100 USDT if your stop loss is hit. The position size is that amount divided by the distance between the entry and the stop-loss price. With a stop 2,000 USDT below the entry, the size is 100 รท 2,000, which is 0.05 coins.
The calculator works out the direction for you. If the stop loss is below the entry price it is a long trade. If it is above, it is a short trade. If you add a take-profit price, it must be on the other side of the entry, and the calculator shows the reward, and the risk to reward ratio. A ratio of 3 means the possible gain is three times the possible loss.
Leverage does not change how much you lose at your stop, since that comes from the size and the stop distance. It only changes how much margin you must put up. Enter a leverage to see the margin needed. If the margin is more than your balance, the trade needs less size or more leverage. Check that your stop sits well before the liquidation price, or the exchange will close the trade first.
Divide the amount you are willing to risk, which is balance times risk percentage, by the distance between your entry price and your stop-loss price.
Many traders risk 1% to 2% of their account on one trade. Lower risk lets you survive a long run of losses.
Not at the stop. The loss at your stop is set by size and stop distance. Leverage only sets the margin required.
It compares the possible profit to the possible loss. If you risk 100 USDT to make 300 USDT, the ratio is 3 to 1.
No. In fast markets the price can jump past your stop, which is called slippage, so the real loss can be larger.
Pick another tool to jump straight to it.