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Position Size Calculator

From the main program menu click Tools and then Position Size  Calculator.

The calculator determines the number of shares for given trading capital value, risk percent per trade and stop-loss value either in points or as a percentage of the entry price. The calculation requires the approximate entry price in the case of percent stop-loss. Results are rounded to the next integer value.

This is an example of number of shares calculation for a 100K account, 2.75% risk per trade and 2 points stop-loss. The entry price is $52.50.

This is an example of number of shares calculation for a 100K account, 2% risk per trade and 4% stop-loss. The entry price is $25.

The equations used are as follows:

For stop-loss in points:  N = (R x M)/(100 x SL)

where N is the number of shares, R is the risk percent per trade (fixed), M is the trading capital and SL the stop-loss in points.

For stop-loss percent: N = (R x M)/(SL x P)

where N is the number of shares, R is the risk percent per trade (fixed), M is the capital at risk, SL the stop-loss as a percentage of the entry price and P the approximate entry price.

Allowable shares = M/P

Note: the calculator can be used in the case of contracts (futures or Forex) provided that the stop-loss corresponds to the amount at risk