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Question#risk-management
W

Wolf Cub

Trader · · 608 views

How do I calculate the right position size for every trade?

I want a systematic way to size my positions based on risk. Can you walk me through the calculation?
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WA

Wolf Alpha

Trader · 15 days ago

In F&O: Lots = Risk Amount / (Stop in points × lot size). Always calculate before entering, never size based on how confident you feel about the trade.

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TW

Trading Wolf

Trader · 15 days ago

Formula: Position Size = (Account × Risk %) / Stop Loss Distance. Example: ₹5L account, risk 1% = ₹5,000. Stop = 20 points. Lot size = ₹5,000 / 20 = 250 shares. Simple but most traders skip this.

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