# Position Size Calculator

With MiladFX Live Price Charts, you can follow the price behaviour of this pair in real time.

Using live market quotes, account equity, risk percentage, and stop loss, use MiladFX Position Size and Risk Calculator to quickly determine the optimum lot size.

## What exactly are lots? What are forex lots?

In forex, a lot refers to the magnitude of a trade, or the number of currency units that will be bought or sold. One Standard Lot equals 100,000 base currency units.

Most brokers will let you trade fractional lot sizes as small as.01 or even less. Mini lots, micro lots, and nano lots are all terms used to describe fractional lot sizes. To compare the sizes and units, please see the figure above.

## How Do I Use the Risk and Position Size Calculator?

Traders can choose from Major Forex crosses, Minor pairs, and the most popular cryptocurrencies (BTC/USD, ETH/USD, LTCUSD, XLM/USD, and XRP/USD) as well as Gold/Silver vs the USD. Let’s use the USD/CAD as an example.

Deposit currency: The account base currency is vital for determining the optimal lot size because it takes into account the pip value and market rate of the chosen cross. For this example, I’m use USD as my deposit currency.

Deposit currency: The account base currency is vital for determining the optimal lot size because it takes into account the pip value and market rate of the chosen cross. For this example, I’m use USD as my deposit currency.

Stop loss (pips): Traders should enter the maximum number of pips they are ready to risk (or lose) in a trade in order to protect account equity if the market moves against them. I’m use 100 pips as my stop loss in this case.

Account balance: This is rather simple; traders only need to enter their account equity. I’m use the number 2000 as an example.

Risk: This Position Size and Risk Calculator’s most important field! Traders can choose a risk percentage or an amount of their account base currency ($2, $20, $40, etc.) in this area. Professional traders, on average, risk no more than 2% of their account equity per deal. This strategy will help traders to continue trading for extended periods of time while also allowing them to recover from earlier losses. For example, I’m choose a risk of 2%.

**I’m now press the “Calculate” button.**

The following are the outcomes: The Position Size and Risk Calculator displays the selected currency pair price (in my case, the USD/CAD price) using a market price live feed with the current interbank rate (in a 5-digit format).

The optimal lot size in this scenario would be 0.05 lot, with a stop loss of 100 pips and a risk of 2% of my account equity.

The calculator then displays the number of units that 0.05 lot represents, which in this example is 5,000 units, as well as the percentage of account equity at risk, or the value of the position, which in this case is 40 USD.

You might find MiladFX Drawdown Calculator helpful as well. It can assist you in precisely calculating how a string of losing trades will effect your trading account equity.