Risk budget
$1,000
1.00% of original account size per trade; not the rounded-size loss
Challenge mode/ 01
Know your line
before you cross it.
Turn the firm rules and your trade idea into one calm decision. No spreadsheets, no second-guessing — just the room you actually have.
Current readout
Ready to calculate
Edit any field below. Every number recalculates live.
Account balance
$100,000
Equity now
$98,500
98.5% of starting balance
Selected instrument
EUR/USD
Forex · long bias
Your assumptions
Set the guardrails.
Market
Account
Keep account size as the original starting balance. Trade risk and loss allowances always use this value.
Firm rules
Daily floor = original account size − (original account size × daily loss % ÷ 100). Total floor = original account size − (original account size × maximum drawdown % ÷ 100).
References are manual snapshots, not tracked automatically. Confirm your firm’s intraday versus closed-balance rules, reset time/time zone, trailing cap and fees. No trailing cap is modeled; touching a floor is flagged STOP, not verified as a firm breach.
Consistency rule
Your best day can be no more than this share of total profit. The calculator spreads the rest across multiple trading days instead of treating it as one trade or one big day.
Trade idea
Directionbias only
Forex sizing uses risk budget ÷ (stop distance × pip value), rounded down to a multiple of your size step and checked against your minimum. Defaults are illustrative, not live broker data. Changing market loads example minimum/step values; verify both with your broker. Display precision is not a broker specification.
Consistency / payout
Illustrative pace: $966.67 per day
The modeled shortfall is $4,833.34. Dividing it across 5 days gives about $966.67 per day. This is arithmetic, not a forecast or instruction to trade. Use realized net profit; a larger best day changes the threshold.
Highest day
$1,000
Total profit needed
$3,333.34
Current profit
-$1,500
Illustrative pace
$966.67/day
5 trading days
Live calculation
The room you have.
auto-updating
PASS — within modeled floors
live verdictModeled loss at the rounded size fits the selected daily and total buffers, before fees or slippage. This is not firm compliance verification.
Calculated size
3.33 lots
Rounded down to your size step, subject to your minimum. Display precision is not a broker specification.
Modeled loss after rounding
$999.00
Rounded size × stop distance × unit value. Price movement only; fees, spread and slippage excluded.
Max daily loss
$5,000
Static daily floor: $95,000
Max drawdown floor
$90,000
10.00% below original account size (static)
Profit target
$108,000
Need $8,000 from start to pass
Risk / reward
1 : 2.00
30 pips risk / 60 pips reward
Remaining daily buffer
$3,500
70.0% of your daily limit remains available
Tighter daily / total room: $3,500
usedprotected room
$1,500 used$5,000 cap
Modeled loss after rounding is $999.00, leaving $2,501 under the tighter daily / total floor after a full stop-out, before costs. A zero readout means no room remains, not that the trade fits.
Decision note
privateMake the next trade boring enough to repeat.
The edge is not finding more risk. It is knowing exactly how much you can spend on the idea.
Protection lines
Daily floor$95,000
Drawdown floor$90,000
Pass balance$108,000
The Math Behind the Pre-Trade Plan
Consistent trading requires more than identifying high-probability setups; it demands exact risk management. Understanding the methodology behind the calculator is critical to protecting your capital and operating within firm rules.
Methodology & Formulas
Position Sizing & Drawdown Limits
The core of any capital preservation strategy is strict position sizing. The fundamental formula determines exactly how many units you can trade while keeping your potential loss within your predetermined risk limit.
Position Size = Risk Amount ÷ (Stop Loss Distance × Unit Value)
Our calculator automates this calculation using your specified asset class. If you are risking $500 on a trade with a 10-tick stop loss in futures (where each tick is worth $12.50), the calculation yields a maximum size of 4 contracts.
Daily Limit vs. Maximum Drawdown
Loss allowances always equal original account size × the relevant limit percentage ÷ 100. Static floors subtract that allowance from original account size. Day-start mode subtracts the daily allowance from your separate day-start reference. Trailing mode subtracts the total allowance from your separate high-water mark, with no trailing cap. Risk amount always equals original account size × risk per trade ÷ 100.
These are manual planning models, not firm compliance checks. Confirm firm-specific intraday versus closed-balance treatment, daily reset time and time zone, trailing caps, fees and whether touching a floor is a breach. References do not update automatically.
Market Nuances
Asset Class Specifics
Every market behaves differently. A pip is not a tick, and standard lots function differently than futures contracts. The calculator adapts to these distinctions, but you must supply accurate broker specifications.
- Forex (Pairs): Measured in pips. A standard lot (1.00) usually equates to a $10 pip value on USD-quote pairs. When trading cross pairs, this value fluctuates. Always verify the current pip value with your broker before execution.
- Futures (Contracts): Measured in ticks. Unlike forex, futures have standardized tick values per contract. For example, the E-mini S&P 500 (ES) moves in 0.25 point increments, with each tick worth $12.50 per contract.
- Indices (CFDs): Measured in points. CFD brokers have wildly different contract specifications. A 1-lot position on the US30 might represent $1 per point on one platform, and $10 per point on another. Adjust the unit value input based on your specific broker.
- Crypto (Perpetuals): Measured in points or precise decimals. Position sizing in crypto must account for the specific token unit. Ensure the point value aligns with whether your exchange sizes positions in base currency (e.g., BTC) or quote currency (e.g., USD).
Rule Interpretation
Mastering the Consistency Rule
Many firms employ a consistency rule to ensure traders have a repeatable strategy rather than relying on a single oversized gamble. This rule dictates that your single most profitable day cannot account for more than a specific percentage (often 30% or 40%) of your total profit.
If your best day violates this threshold, you may be denied a payout. If you experience a massive windfall day, the mathematically sound approach is not to trade aggressively to match it, but to calculate the total profit required to make that best day fit within the allowable percentage.
Our Consistency / Payout module estimates this profit threshold, rounded up to cents. Its daily pace is an arithmetic illustration, not a forecast, a safe target, or an instruction to trade. Recalculate if your best day or net profit changes. Meeting this modeled threshold alone does not establish payout eligibility.
Risk Management
Common Execution Pitfalls
Even with precise mathematics, execution errors can lead to breached accounts. We recommend leaving a generous buffer to account for these frequent missteps:
Spreads & Slippage
The calculator assumes a perfect fill. In volatile markets or during news events, slippage can extend your loss beyond the mathematically defined stop. Always leave a buffer between your risk and the daily limit.
Margin Requirements
While a position size may fit your risk parameters perfectly, your account might not have the free margin required to open it. This is especially prevalent in futures and cryptocurrency accounts.
Weekend Gap Risk
Many firms prohibit weekend holding due to gap risk. If a market gaps over your stop loss on Monday open, your loss will exceed your planned risk amount, potentially breaching the account limits.
Revenge Trading
When traders take a loss, they often recalculate their remaining daily buffer and risk the entirety of it to recover. This leaves zero room for spread or slippage and often results in a final limit breach.
FAQ
Frequently Asked Questions
Does this calculator execute trades?
No. TradeMathic is an analytical pre-trade planning tool. It is designed to run alongside your execution platform to help you structure your risk before you enter live orders.
Is my financial data stored or shared?
Calculations run locally in your browser. The app does not send your entered balances, equity figures, or symbols to its servers. Analytics records actions and categories, not those values. Advertising and analytics providers can collect other browsing information as described in our Privacy Policy.
Can I use this for a personal broker account?
Yes. While the tool is optimized for the specific rulesets of prop firms (daily limits, consistency caps), the core mathematics of position sizing and risk-to-reward ratios are universal and apply equally well to personal margin accounts.
Why do I need to input my current equity?
Your current equity is compared with the selected daily and total floors. Original account size remains the basis for loss allowances and trade risk; day-start and trailing modes use separate manual reference values. Confirm those values and rules with your firm.