Lot Size Calculator
Calculate the correct position size (lot size) based on how much of your account you're willing to risk and your stop loss distance.
What is a lot in forex?
A lot is the standard unit size for a forex trade. A standard lot is 100,000 units of the base currency. A mini lot is 10,000 units (0.10 lots), and a micro lot is 1,000 units (0.01 lots). Choosing the right lot size is the most important risk management decision you make on every trade.
How to calculate lot size from risk
The formula for position sizing based on risk percentage:
For example, if you have a $1,000 account, risk 1% ($10), use a 50-pip stop loss, and trade EUR/USD (pip value = $10/lot), your lot size = $10 / (50 × $10) = 0.02 lots.
The 1% rule
Professional traders typically risk no more than 1-2% of their account on any single trade. If you have a $1,000 account, that means risking at most $10-$20 per trade. This ensures you can survive a losing streak without devastating your account. Risking more than 5% per trade dramatically increases the probability of blowing your account.
This calculator is for educational purposes only. Always verify position sizes on your trading platform before opening a trade.