Work out how much to buy or short so that hitting your stop-loss costs the share of your account you chose. It works for spot and for leveraged futures, takes fees out of the risk, and checks that liquidation does not come before your stop.
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The same trade at other risk levels, with entry, stop and leverage held fixed. A stop is usually filled at market once the price touches it, so a fast move can fill it beyond the stop and lose more than planned.
Position sizing starts from how much a losing trade may cost, not from how much you want to hold. The distance to the stop then decides the quantity.
Divide the amount you are prepared to lose by the loss per unit between entry and stop. A tight stop allows a bigger position and a wide stop a smaller one, for the same money at risk.
At 5x the same position ties up a fifth of the margin, and the loss at the stop is unchanged. What leverage adds is a liquidation price. If that sits before your stop, the stop never gets the chance to fire.
Open the position in Vectixs paper futures with a stop-loss attached, or read how a trailing stop follows the price, with paper money at stake instead of yours.
Divide the amount at risk by the loss per unit between entry and stop. With a 10,000 USDT balance and 1% risk, 100 USDT is at risk. With an entry at 100 and a stop at 95, each unit loses 5, so the position is 20 units, worth 2,000 USDT. The calculator also charges the fee on both the entry and the exit, which makes the quantity slightly smaller.
That is your decision, and this page does not make it for you. Many traders size each trade so that a loss costs somewhere between 0.5% and 2% of the account, which keeps a run of losing trades survivable. The table under the result shows the same trade at several risk levels so you can compare them.
Not for the same quantity and the same stop. The loss at the stop is identical at 1x and at 20x, because it depends only on the quantity and the distance to the stop. Leverage lowers the margin set aside and adds a liquidation price. Higher leverage moves that price closer to the entry, and past a point it lands before your stop, so the position is liquidated first and loses its whole margin.
Because a trade pays a fee to open and another to close. At 0.1% per side on a 5% stop, fees add about 4% to the loss. On a 1% stop the same fees add about a fifth, so ignoring them makes a tight-stop position noticeably too large. Set the fee to 0 if your exchange charges none.
Not always. A stop-loss is usually sent as a market order once the price touches it, so a fast move or a gap can fill it beyond the stop. On a perpetual, funding is also paid or received while the position is open. Treat the figure as the planned loss, not a guaranteed limit.
Pick a Bitfinex USDT perpetual and its maintenance margin and maximum leverage come from Bitfinex's public settings, read by Vectixs while the page is open. The entry is filled with the current mark price. Choose Custom to type any rate yourself, or leave leverage at 1 for a spot trade.
Using leverage? The liquidation price calculator shows where a position closes at every leverage, the funding rate calculator what holding it costs, and futures paper trading on Vectixs lets you open one with paper money. For spot grid and DCA figures, use the grid and DCA calculator.