November 17, 2024
This post is about a calculator page that calculates the number of stocks to buy using various position sizing strategies. This post has four calculators. Volatility based position sizing calculator, Equal Risk based position sizing calculator, Fixed value position sizing calculator, Drawdown based position sizing calculator, ATR - Average true range position sizing

Position Sizing Calculator

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Position sizing refers to the size of a trade in terms of the amount of capital being invested. It is an important aspect of trading because it helps to manage risk. A position sizing calculator helps us to decide how much stocks to buy in each trade. Using this calculator, a trader can ensure that a single trade does not disproportionately affect their overall account balance.

There are various types of position sizing used by traders worldwide. I had made a comprehensive calculator that will help my fellow traders to benefit from it.

If you are not familiar with the calculators, read my article on Various Position Sizing here.

Position Sizing Calculator

1- PORTFOLIO DRAWDOWN BASED POSITION SIZING CALCULATOR

In case of all your positions go wrong

2- Equal Risk Based Position Sizing

What Is Your Account Size?
What Is Your Entry Price?
What Is Your Stop Loss Price?
Prefer Value Between 1-2%
Total stocks to buy / Decimals rounded off

3- Fixed Value Position Sizing

What Is Your Account Size?
How Many Stock You Want To Hold?
Per Stock How Much Money To Allocate
What Is Your Entry Price?

4- Volatility Based Position Sizing (Average True Range -ATR)

What Is Your Account Size?
ATR 14 Value Of Stock
What Is Entry Price?
Prefer Value Between 1-2%
Risk / (2*ATR)

Hi all !! I am Vimal and I write a lot about Positional trading strategies and Investing ideas using current trends in the market. If you like my articles and want my market related updates delivered right into your inbox, consider subscribing to the newsletter using the form below.

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