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Free risk tools

Options position size calculator

How many contracts fit your risk per trade, so one option trade can't sink the account.

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  • Free
  • No sign-up
  • Nothing you type is stored

The trade

A common range is 0.5% to 2%.
For a credit spread, type the width less the credit: the most it can lose.
100 holds to expiry; 50 sells if the option halves.

The size

Buy up to 2 contracts: a planned loss of $480.00, 0.96% of $50,000.00.

The loss
The most you can lose is the whole premium paid: $480.00.
Per contract
$240.00 premium (2.4 x 100 shares); planned loss $240.00.
Left unused
$20.00 of the $500.00 budget: contracts come whole, so the count rounds down.

Contracts at other risk levels, same option. Your row is marked.

RiskContractsPlanned loss
0.5%1$240.00
1%2$480.00
2%4$960.00

Education only, not investment advice. The answer comes from the numbers you typed in, not from your account or the market. Simulated results are hypothetical and have limits: real trading has slippage, gaps, changing results and emotions. Trading leveraged products can lose money quickly, including all of it. Risk warning

Want this check on every trade?

Educational only, not financial advice; trading involves risk.

Size options by what they can lose

A bought option can lose its whole premium, and many expire worthless. Sizing by the premium at risk, not by how many contracts feel right, keeps one bad trade to a small, planned share of the account. A planned exit at half the premium lets you buy more, but options gap and spreads widen, so the full premium is the honest worst case.

See the payoff on expiry with the options profit calculator, price the option with the option price calculator, and for spreads work out the most each can lose with the option spread calculator.

Not advice. Arithmetic on the numbers you type; options can lose all they cost.

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Pricing

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Baroq never holds your money and never trades for you. Educational only, not financial advice; trading involves risk.

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