Free Trading Risk Management Calculators
Accounts end from position size, not from bad setups
Four calculators for the side of trading that decides whether the edge ever gets a chance to work: a stop for the day, the probability of ruin at your size, what a drawdown costs to recover, and the risk across the whole book.
Daily Loss Limit Calculator
Set a daily stop for the account: the dollar limit, how many losing trades reach it, and what a week and a month look like at that rate.
Result
Daily loss limit
$1,500
- Risk per trade
- $500
- Losses that reach the limit
- 3
- Trades the limit allows
- 3
- Budget used at your trade cap
- 2,500%
- Equity if the limit is hit
- $48,500
- Five days at the limit
- $7,500
- A month at the limit
- $30,000
- Note
- The trade cap allows more losing trades than the daily limit permits
This tool is for informational and educational purposes only. It is not financial or investment advice, and past performance does not guarantee future results.
A daily loss limit is a written rule you set before the session, not a decision you make while losing.
The number of consecutive losses tolerated is the practical meaning of the limit - if it is one or two, the per-trade risk is too large relative to the daily stop.
Read the full guide, worked examples and FAQ for this calculator →
Popular tools
The calculators visitors to TradingRiskTools open most often.
- Risk Management
Daily Loss Limit Calculator
Set a daily stop for the account: the dollar limit, how many losing trades reach it, and what a week and a month look like at that rate.
Open calculator → - Risk Management
Risk of Ruin Calculator
Estimate the probability of losing a set share of the account, given a win rate, a payoff ratio and the risk taken per trade.
Open calculator → - Risk Management
Drawdown Recovery Calculator
Work out the gain required to recover a drawdown, and how many average trades at your expectancy that represents.
Open calculator → - Risk Management
Portfolio Risk Exposure Calculator
Add up the risk across every open position: what the account loses if every stop is hit, and which position carries most of it.
Open calculator →
Two traders running the same strategy can end the year with completely different accounts, purely because one risked one percent a trade and the other risked five. The strategy is not what separated them.
These tools calculate that side of it. None of them predicts a price, recommends a trade or suggests a risk level - they take numbers you supply and show what those numbers imply, including the parts that are uncomfortable to look at.
Browse by category
Risk Management
Position sizing, stops and account-level risk limits.
Why use TradingRiskTools
A limit decided before the session
The purpose of a daily stop is to remove the decision from the moment when judgement is least reliable. The tool shows how many losses reach it.
Survival probability, not just expectancy
A positive edge only pays if the account survives to collect it. Risk of ruin shows what halving or doubling position size does to that.
The asymmetry made concrete
A 50% loss needs a 100% gain. Seeing that for your own account is the strongest argument there is for conservative sizing.
Account risk, not per-trade risk
One percent per trade across eight open positions is eight percent - and less if they are independent, more if they are not.
How it works
- Set a per-trade risk level and test it against risk of ruin before adopting it.
- Set a daily limit that leaves room for three or four normal losses.
- Check total open risk before adding any new position.
- Use the recovery figure to keep drawdowns inside a range you can actually climb out of.
Frequently asked questions
Do you recommend a risk percentage?
No. That is a personal decision that depends on your strategy, drawdown tolerance and trade frequency. These tools show the consequences of each choice rather than making it for you.
Is any of this financial advice?
No. Every tool here is arithmetic on numbers you enter, for informational and educational purposes only. Nothing recommends a trade, a strategy, an instrument or a risk level.
Why does risk of ruin look so high at larger position sizes?
Because losses compound against a shrinking account. Doubling the risk per trade does considerably more than double the probability of ruin, which is exactly why the calculation is worth running.
Does total open risk account for correlation?
No, and no simple tool can. Positions that move together behave like one larger position, so treat the total as a floor rather than a worst case.
Is anything I enter stored?
No. Every calculation runs in your browser. No account size, position or price is transmitted or saved anywhere.