Position Sizing for Small Accounts

Position sizing answers one question: how much of this asset do I buy or sell so that if the stop gets hit, I lose an amount I already decided I was okay losing?

Your Risk Management Parameters page lets you set that number as a percentage of your capital — 1% is a common conservative default. On a $750 account, 1% is $7.50. That's not the amount you're trading, i t's the amount you're willing to lose if the trade goes wrong.

To turn that into an actual position size, divide the risk amount by the distance between your entry a nd your stop loss. If a signal enters at 2650 and stops at 2645, that's a 5-point distance. $7.50 divi ded by 5 gives you 1.5 ounces — that's the size where, if the stop is hit, you lose exactly the $7.50 you decided on, no more.

This is why the stop distance matters as much as the direction. A tighter stop lets you size up while risking the same dollar amount; a wider stop means sizing down. The Performance page shows this calcul ation next to every live signal using your own settings, so you're never guessing.

The daily cap works the same way, just added up across the day. If you've taken three signals today at 1% risk each, you've used 3% of your daily budget. Setting a daily cap below 100% is what stops one b ad morning from becoming the whole month's story.