Position Size Worksheet

Guarding capital, controling risk, and scaling position sizes appropriately as an account grows, all with a simple and clear process.

Entry Price__________
(based on opening fill after order placed upon trigger)

Stop Loss Price__________
(3% below low of last 2 weeks or most recent low. If a volume breakout above resistance in a sideways trending stock is present, 3% below old resistance, new support level. Identified support x .97 = 3% below that support)

Risk Per Share__________
(Entry price – stop loss = risk)

Risk 2% of Portfolio__________
(Size of portfolio x .02 = 2% of portfolio)

# of Shares to Buy________
(2% of Portfolio in $ / Risk Per Share = # of Shares to Buy)

25% of Portfolio______________ (Portfolio x .25)
$ Value of Trade______________ (# of Shares x Cost per share = $ Value of Trade)
**If $ Value is less than 25% of portfolio, make the trade. If it is larger, size the position for 25% of the portfolio by dividing $ value of 25% of the portfolio by the risk per share)**