How to Use the Stop-Loss Calculator
Last updated on October 19, 2024
Keep Risk in Check with the Stop-Loss Calculator
Our stop-loss calculator converts your risk-per-trade into the exact price level you should set for stop-loss and take-profit orders. Use it before entering any position to protect your capital.
Inputs You Need
- Account Currency: USD, EUR, GBP, AUD, etc.
- Currency Pair / Instrument: e.g., EUR/USD, XAU/USD.
- Entry Price: Planned entry rate.
- Account Balance: Used to determine the monetary risk.
- Risk Percentage or Amount: Choose a % of balance or fixed figure.
- Position Size: Lots or units (auto-filled if you used the Position Size Calculator).
Step-by-Step Walkthrough
- Navigate to Tools → Stop-Loss Calculator.
- Select the instrument you're trading.
- Enter your entry price and account details.
- Set the risk amount (e.g., 2% of $5,000 account = $100).
- Choose whether you're going long or short.
- Click Calculate.
The tool outputs:
- Recommended stop-loss price level.
- Take-profit suggestion using a default risk-reward ratio (editable).
- Pip distance and monetary value of the stop.
Customizing Risk-Reward Ratio
- Default is 1:2. Adjust to any ratio (e.g., 1:1.5) for your strategy.
- Tool recalculates take-profit target instantly.
Tips for Accuracy
- Use the Position Size Calculator first for precise lot sizing.
- Account for spread and commissions—set stops beyond noise levels.
- For volatile assets, consider widening stops and reducing size.
- Save your input presets for repeat strategies.
Common Questions
Q: Does the calculator include slippage?
A: No. Factor in slippage manually for high-volatility releases.
Q: Can I set multiple take-profit levels?
A: Export results and adjust manually—multi-target support is coming soon.
Q: Where can I see historical performance?
A: Use the journal export to track trades and outcomes.