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Calculate dollar risk per trade from account size, risk percentage, entry price, and stop-loss.
Use this trade risk calculator to translate a risk rule into a clear dollar amount before opening a position. The calculator is designed to give a fast answer, but the quality of the answer still depends on accurate inputs and a clear idea of what decision you are trying to support.
- Enter Account Size, Risk per Trade, and Entry Price using the same units you plan to compare or report.
- Add Stop-Loss Price and review the inputs before calculating.
- Read the main risk amount first, then use the supporting outputs to understand the trade-offs behind that result.
- Compare your numbers with the worked examples below if you want a quick reasonableness check.
Position size converts account-level risk into a trade size you can actually place, making the stop-loss distance central to the final exposure. On this page, the primary output is risk amount.
Scenario 1: $18,000 account risking 1.2% with entry at $62 and stop at $58. Inputs used: accountSize: 18000, riskPercent: 1.2, entryPrice: 62, stopLoss: 58. Example result: $216.00. This trade plan risks $216.00 if the stop is hit. Scenario 2: $42,000 account risking 0.8% with entry at $145 and stop at $136. Inputs used: accountSize: 42000, riskPercent: 0.8, entryPrice: 145, stopLoss: 136. Example result: $336.00. With these risk settings, the amount at risk comes to $336.00.
Core formula: position size = (account risk / |entry - stop|) * entry price. Risk per trade is converted into a cash amount first, then divided by the stop-loss distance to determine how many units you can buy without exceeding that risk.
- A tighter stop allows more units for the same risk.
- If entry and stop are identical, the tool returns zero units to avoid false precision.
Use this calculator before entering a trade so the risk plan is defined before emotions or momentum take over. Related paths for follow-up analysis include position size calculator, pnl calculator, crypto profit calculator, and futures pnl calculator.
Most bad outputs come from a few repeated input errors or interpretation mistakes. Use this short checklist before relying on the result.
- Setting the stop loss after choosing a position size instead of before.
- Ignoring how tighter stops can increase slippage risk in volatile markets.
- Risking a fixed dollar amount without relating it to total account size.
