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Position Sizing Calculator - CA Rachana Ranade

📐 Position Sizing Calculator

Calculate the right quantity based on your risk per trade, entry, and stop loss. Includes target price from Risk:Reward and a capital allocation pie chart.

⚙️ Inputs
Position Size
₹ 1,00,000
💡 Total capital you want to size trades from.
1.00%
💡 Recommended: 0.5%–2% depending on your style.
₹ 100
💡 Your planned entry price.
₹ 95
💡 Your stop-loss price (for long: below entry, for short: above entry).
1:2
💡 Example: 2 means Risk:Reward = 1:2.
📊 Outputs
Results
📦 Quantity (Units)
0
—
💰 Capital Used
₹ 0
—
🛡️ Risk Amount
₹ 0
—
📉 Risk / Unit
₹ 0
—
🎯 Target Price
₹ 0
—
Trade Type: —
RR: —
If SL hits: ₹ 0   |   If Target hits: ₹ 0
🥧 Capital Allocation
Pie
Used vs Remaining Capital —
Capital Used ₹ 0
Remaining ₹ 0
💡 Helps you see if the position is too large for your capital.

How does the Position Sizing Calculator work?

This calculator helps you decide the maximum quantity you can buy/sell while keeping your loss limited to your chosen risk per trade.

  • Risk Amount: Capital × Risk %
  • Risk per Unit: |Entry − Stop Loss|
  • Quantity: floor(Risk Amount ÷ Risk per Unit)
  • Target Price: Uses your RR (1:R). For Long: Entry + (Risk per Unit × R). For Short: Entry − (Risk per Unit × R)

Tip: Even if risk allows a big quantity, you may still choose to use smaller size for comfort and volatility.

FAQs

❓ Why does quantity become 0?

Either your risk amount is too small to buy 1 unit, or your Entry and Stop Loss are the same (risk per unit becomes 0).

❓ Long vs Short — how does it decide?

If Stop Loss is below Entry, it assumes a Long. If Stop Loss is above Entry, it assumes a Short.

❓ What is a good risk % per trade?

Many traders use 0.5%–2% per trade. Lower risk helps survive losing streaks and protects capital.

❓ Does this include brokerage/slippage?

No. This calculator is intentionally kept simple. You can slightly reduce your risk % to account for costs.

Disclaimer: This tool is for informational purposes only and does not constitute financial advice.