Position Sizing decides how many units to trade so that a stop-out costs only a fixed, small share of your account. It is the core of risk control.
How traders use it
- Size from your stop distance and risk-per-trade, not a hunch.
- Smaller stops allow larger size for the same risk.
- It keeps any single loss survivable.
See it in dtcharts
Test your risk plan risk-free in the dtcharts terminal with paper trading.