Position Sizing Examples (12 Real Scenarios)
12 position sizing examples with real numbers. Learn how risk %, stop distance, and leverage affect units, notional, and risk.
Use the Position Size Calculator to replicate any scenario.
Scenario 1: Small account, tight stop (spot long)
- Account: $2,000
- Risk: 1% = $20
- Entry: 100, Stop: 99 -> distance 1
- Size = 20 / 1 = 20 units
Scenario 2: Wider stop (spot long)
- Account: $2,000
- Risk: 1% = $20
- Entry: 100, Stop: 96 -> distance 4
- Size = 20 / 4 = 5 units
Scenario 3: Short trade
- Account: $10,000
- Risk: 0.5% = $50
- Entry: 200, Stop: 210 -> distance 10
- Size = 50 / 10 = 5 units
Scenario 4: Futures sizing (leverage chosen last)
- Account: $10,000
- Risk: 1% = $100
- Entry: 50, Stop: 48 -> distance 2
- Size = 100 / 2 = 50 units
- Notional = 50 x 50 = $2,500
Scenario 5: Same notional, higher leverage
Leverage affects margin and liquidation distance, not the sizing math. Keep liquidation far beyond the stop.
Scenario 6: Very small stop (costs become critical)
Small targets and small stops get destroyed by costs. Model net outcomes in the PnL Calculator.
Scenario 7: Multiple open positions (open risk)
If you run 3 trades at 1R each, open risk = 3R. Consider caps like 2R to 4R total.
Scenario 8: Correlated positions (hidden leverage)
Three altcoin longs can be one oversized BTC bet. Cap correlated risk.
Scenario 9: Reduce risk after drawdown
After -8% equity, cut risk from 1% to 0.5% until stable.
Scenario 10: Swing trade with ATR stop
Volatility stop means larger distance and smaller size. This is normal.
Scenario 11: Partial profit + move stop
Moving stop to break-even reduces downside but doesn't remove slippage risk.
Scenario 12: Stop moved? Recalculate size
Any stop change should trigger a recalculation. No exceptions.
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