Position Size and Risk Reward Calculator
A position size calculator tells you how many lots to trade so that hitting your stop loss costs only a fixed share of your capital, usually 1 to 2 percent. Choose the value per point of your contract, enter your entry, stop loss and target, and the calculator shows lots, rupee risk and your risk reward ratio.
Maximum risk for this trade₹2,000
Stop loss distance20 points
Risk per lot₹200
Position size10 lots
Actual risk at this size₹2,000
Potential reward₹4,000
Risk reward ratio1 : 2.00
Win rate needed to break even33.3%
How the calculation works
Position size = (capital × risk %) ÷ (stop loss points × rupee value per point per lot). The result is rounded down, so the real risk is never above your limit. Values per point are based on standard MCX lot sizes and can change, so confirm them with your broker. Margin is not included.
Learn more in the guide to risk management, stop loss and risk reward ratio or the scalping strategy guide.
For education only. Not investment advice.