How it is calculated
The calculator turns your risk percentage into money, then divides it by what the stop loss costs on one lot.
The cost of the stop on one lot is the stop distance in pips times the value of one pip for one lot. For pairs not quoted in your account currency, the pip value is converted with the rate you enter.
The result is rounded down to the 0.01 lot step most brokers use, so the real risk is never above the amount you set.
Lots = (Balance × Risk %) ÷ (Stop loss in pips × Pip value per lot)
FAQ
What risk per trade should I use?
Many traders keep it between 0.5% and 2% of the balance so a losing streak does not wipe out the account. The calculator works with any value you enter.
Why is my lot size slightly smaller than expected?
The result is rounded down to the nearest 0.01 lot. Rounding up would push the loss at your stop above the amount you chose to risk.
Is a pip on gold the same as on EURUSD?
No. On EURUSD a pip is 0.0001; on XAUUSD this calculator uses 0.1 (10 cents), the most common convention. Check the pip size line under the stop loss field before you trade.
Does it work for indices like US30?
Yes, but contract sizes for indices differ between brokers. Copy the contract size from your broker’s symbol specification into the contract size field.