Stop Loss Calculator

Use our stop loss calculator to calculate your stop loss price for crypto, forex, stocks, futures, and commodities based on your entry price, the risk in percentage, and the trade direction.

How to use the stop loss calculator:

1. Add your ‘Entry price’ (e.g. $20, $330, or $25800).
2. Add your Risk in percentage’ (e.g. 2%, 10%, or 33%).
3. Select ‘Long’ or ‘Short’ position.
4. Click ‘Calculate Stop Loss’.

The stop loss price that you get is the naked stop loss price calculation without including slippage and leveraged trading fees.

What is a stop loss calculator?

A stop loss price calculator is a tool that helps traders and investors calculate their stop loss price based on a percentage risk.

This helps to manage risk better and it instantly shows the price at where a position should be sold or bought back to stay within a certain risk limit.

In simple terms, it works like a safety net for your positions by showing you where to add your stop loss.

The stop loss percentage calculator works for both long and short positions and it works with any market you trade such as forex, crypto, stocks, and commodities.

How the stop loss calculator works

Imagine that you have bought a stock or a cryptocurrency and you want to make sure that you don’t lose more than necessary if the price starts to fall.

Here is how it works:

1. Setting Parameters: The first step is to input the parameters into the calculator:
   • Entry Price: This is the price at which you initially bought or entered into a trade.
   • Risk Percentage: This is the percentage of your investment capital that you’re willing to risk on this trade. It represents how much you’re willing to lose if the trade goes against you.
   • Trade Type: You specify whether it’s a “long” or “short” trade. In a long trade, you’re betting that the asset’s price will go up, while in a short trade, you’re betting that the price will go down.
2. Calculating the Stop Loss Price: The calculator then uses a formula to calculate the stop loss price based on the parameters you’ve provided.

In this case, the calculator helps you decide exactly where to automatically sell your asset.

Simply add your criteria for the trade and your stop loss price will be given.

What is the formula for calculating stop loss?

The formula for calculating the stop loss price depends on whether you’re in a “long” or “short” trade. Let’s break it down:

Long Trade: In a long trade, you’ve bought an asset (e.g., a stock) with the expectation that its price will rise.

To set a stop loss, you’ll calculate it as follows:

Stop Loss Price = Entry Price – (Entry Price * (Risk Percentage / 100))

• Entry Price: The price at which you bought the asset.
• Risk Percentage: The percentage of your investment that you’re willing to risk losing.

If the price falls to the calculated stop loss price, your asset will be automatically sold to limit your loss.

Short Trade: In a short trade, you’ve borrowed and sold an asset with the expectation that its price will fall, and you plan to buy it back at a lower price.

Here’s how you calculate the stop loss in a short trade:

Stop Loss Price = Entry Price + (Entry Price * (Risk Percentage / 100))

• Entry Price: The price at which you initially sold the borrowed asset.
• Risk Percentage: The percentage of your investment that you’re willing to risk losing.

If the price rises to the calculated stop-loss price, your short position will be automatically closed to limit your loss.

If the price rises to the calculated stop-loss price, your short position will be automatically closed to limit your loss.

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