AI Traders
Calculator
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Position size via Kelly

Example
Position size ($)
$4000.00
Position size (units, if price = $X)
80.00
Leverage (at base deposit)
0.40×
Risk amount, $
$200.00

Formula: Size = (Deposit × Risk%) ÷ Distance%. Leverage = Size ÷ Deposit. Leverage > 1 means using margin.

What it computes

Kelly criterion — a formula from information theory: what fraction of capital to risk per trade to maximize long-term geometric growth. Often turns out higher than feels safe.

The calculator returns the Kelly fraction for your strategy and suggests fractional Kelly (typically 25-50% of full Kelly) as the practical recommendation. Full Kelly is too volatile for most traders.

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