Calculate the correct lot size for any forex trade based on your account balance, risk percentage, and stop loss in pips. Works for all major currency pairs including EUR/USD, GBP/USD, and USD/JPY.
| Lot Type | Units | EUR/USD Pip Value | Typical Account Size |
|---|---|---|---|
| Standard Lot | 100,000 | $10/pip | $10,000+ (at 1:100 lev) |
| Mini Lot (0.10) | 10,000 | $1/pip | $1,000–$10,000 |
| Micro Lot (0.01) | 1,000 | $0.10/pip | $100–$1,000 |
| Nano Lot (0.001) | 100 | $0.01/pip | Under $100 |
"Trades until ruin" assumes a 50% win rate. At 1% risk, 100 consecutive losses = account wiped — which gives you enough runway to learn and adjust. Most prop firms require ≤1% risk per trade.
Our full position size calculator works for BTC, ETH, and other crypto assets.
Open Full Calculator →Position size (lots) = (Account Balance × Risk %) ÷ (Stop Loss in Pips × Pip Value per Standard Lot). For a $10,000 USD account, 1% risk ($100), 20-pip stop on EUR/USD (pip value = $10/lot): Position = $100 ÷ (20 × $10) = 0.5 lots = 50,000 units.
Professional traders typically risk 0.5%–2% per trade. Beginners: start at 0.5%–1%. At 1% risk, 100 consecutive losing trades wipe your account — giving you plenty of runway. Most funded trader accounts (FTMO, MyForexFunds) require ≤1% daily risk and ≤2% per trade. Never risk more than 5%.
A pip = the 4th decimal place for most pairs (EUR/USD: 0.0001). For JPY pairs, pip = 2nd decimal (USD/JPY: 0.01). 1 standard lot moves $10 per pip in EUR/USD. 1 mini lot moves $1/pip. Some brokers show 5 decimal places — the 5th decimal is a "pipette" (0.1 pip).
Start with micro lots (0.01) — that's $0.10 per pip in EUR/USD. On a $1,000 account with a 20-pip stop, micro lots risk $2 (0.2%). This lets you practice real trading psychology without destroying your account during the learning curve. Graduate to mini lots when you have a consistently profitable system.
Leverage amplifies your position but shouldn't change your risk calculation. Always size based on how much you can afford to lose if stopped out — not on how much margin you have available. At 1:100 leverage, $100 margin controls $10,000 in currency. But if your stop is 50 pips on EUR/USD mini lot, max loss = $5 — regardless of your leverage.
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