Risk Management Calculator
How to Use
The Risk Management Calculators help you determine the appropriate position size based on the inputs provided. Follow the steps below to use the calculators effectively:
- Choose a Calculator: Select one of the calculators from the drop-down menu:
- Support Based Stop Loss
- Percent Based Stop Loss
- Enter the Required Inputs: Fill in the necessary details based on the chosen calculator.
Support Based Stop Loss
This calculator is intended for use in positions that are shares and is not suitable for options trades. Enter the following inputs:
- Total Account Size: Enter the total value of your trading account.
- Max Risk Tolerance: Enter the maximum amount of risk you are willing to take for this trade.
- Entry Price: Enter the price at which you plan to enter the trade.
- Target Sell Price: Enter the price at which you plan to sell the shares if the trade goes in your favor.
- Support Price: Enter the support price level where you plan to set your stop loss.
Percent Based Stop Loss
This calculator is suitable for both shares and options trades. Enter the following inputs:
- Total Account Size: Enter the total value of your trading account.
- Max Risk Tolerance: Enter the maximum amount of risk you are willing to take for this trade.
- Stop Loss Percentage: Enter the percentage loss you are willing to tolerate before exiting the trade.
- Entry Price Per Share or Per Contract: Enter the price at which you plan to enter the trade, per share or per contract.
- Target Profit Percentage: Enter the percentage gain you aim to achieve from the trade.
- Calculate: Click the "Calculate" button to determine the appropriate position size based on your inputs.
Trading is inherently risky, and this does not constitute advice for any trades or risks the user takes. It is simply a tool to be used at your own risk. We assume no liability for losses.
Learn About Trading
Explore various topics related to trading, such as technical analysis, fundamental analysis, and risk management strategies. Use the interactive tree diagram to navigate through different concepts and enhance your knowledge.
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