Smartly Calculate Your Stop Loss & Take Profit
Managing risk is important in trading, and our Stop Loss Calculator helps you calculate the best stop loss and take profit levels according to your risk management.
Whether you use a points-based, percentage-based, amount-based, or risk-reward-based approach, this tool will help you set stop loss and take profit levels according to your risk tolerance.
Here is a step-by-step guide on How to Use the Stop Loss & Take Profit Calculator
1. Select Your Trade Type:
* Choose your trade type: Buy (Long) or Sell (Short) position.
2. Enter Your Entry Price:
* Enter your entry price at which you enter the trade.
3. Choose Your Stop Loss Type:
- Points-based: Set stop loss in points.
- Percentage-based: Set stop loss as a percentage of the entry price.
- Amount-based: Define how much you are willing to risk ($, €, ₹, etc.) based on position size or lot size.
4. Set Your Take Profit Level:
- Points-based: Set a fixed take profit target.
- Percentage-based: Define take profit as a percentage of entry price.
- Risk-Reward Ratio: Automatically calculate take profit based on a selected risk-reward ratio (e.g., 1:2 or 1:3).
5. Get Your Stop Loss & Take Profit Prices:
The calculator instantly provides your stop loss price and take profit price so you can apply them to your trading platform.
Learn how to Calculate Stop Loss and Take Profit. Here's how it works:
Stop Loss Calculation Formula:
Points-Based SL: Stop Loss Price = Entry Price - SL (for Buy) / Entry Price + SL (for Sell)
Percentage-Based SL: Stop Loss Price = Entry Price × (1 - % Loss)
Fixed Amount SL: SL in points = Risk Amount ÷ Position Size
Take Profit Calculation Formula:
Points-Based TP: Take Profit Price = Entry Price + TP (for Buy) / Entry Price - TP (for Sell)
Percentage-Based TP:Take Profit Price = Entry Price × (1 + % Gain)
Risk-Reward TP: Take Profit = Stop Loss × R:R Ratio
FAQs – Stop Loss & Take Profit Calculator
1. What is a Stop Loss Calculator?
A Stop Loss Calculator helps traders calculate the correct price to exit a losing trade and minimize risk.
2. How Do I Set a Stop Loss?
Stop loss can be calculated using points, percentage, or a fixed amount depending on your risk tolerance.
3. What is the Best Stop Loss Strategy?
The best strategy depends on market conditions and trading style. Many traders use a risk-reward ratio (e.g., 1:2 or 1:3) or percentage-based and fixed amount-based stop loss to manage risk effectively.
4. How to Calculate Take Profit?
Take profit or target can be calculated using points, percentage, or a risk-reward ratio. A 1:2 risk-reward ratio means if your stop loss is 10 points, your take profit should be 20 points. Similarly, if your stop loss is 1% and target 3%, then you can also use a percentage-based take profit.
Check out our Simple Stock Profit Calculator