Learn how to determine the perfect lot size for every trade using account balance, risk percentage, and stop-loss distance. Take the guesswork out of your trading.
Content:
Position size is the number of lots or units you trade. It determines how much real money you are putting at risk.
Account size = $1,000
Risk = 1% ($10)
Stop Loss = 50 pips
Pip value (for 0.01 lot in EUR/USD) = $0.10
Position size = $10 / (50 × $0.10) = 2 micro lots (0.02 lot)
Use online calculators
Set SL before deciding your lot size
Avoid adjusting SL just to fit a bigger lot
