Prop Firm Drawdown & Position Sizing Calculator
Free tool from TradeGuard Systems. Enter your firm's rules once, then check every trade: how much room you have before the floor, the largest position that fits, and what it takes to reach your target. Works for forex, gold, crypto and futures on any platform: TradeLocker, Match-Trader, DXtrade, TradingView or a futures platform.
1. Your account rules
Copy these from your firm's dashboard or rules page. They're saved in this browser so you only enter them once.
2. Your trade
3. Path to your target
Based on the trade above, repeated at the same size. Averages, not a forecast.
How prop firm drawdown limits work
Most prop firms set a maximum loss: a floor your account must stay above. A static floor is fixed from your starting balance (6% of $10,000 puts it at $9,400). A trailing floor follows your highest balance by a fixed dollar amount and never moves down. Some firms trail intraday (including open profit), others only at the end of the day.
Many firms also set a daily loss limit, usually measured from your balance at the daily reset. On any given day, your real buffer is whichever floor is closer. Check your firm's current rules.
Formulas
buffer = current balance − the closer of your max loss floor and today's daily floorrisk on a trade = stop distance × value per pip or point × position sizemax size = round down((buffer × risk share) ÷ (stop × value per pip or point))max size by margin = current balance × leverage ÷ value of 1 lotnet wins needed = profit still needed ÷ reward per winning trade
Lots round down to 0.01 and futures round down to whole contracts. Your stop distance is measured from your entry price, so the spread is already included when you set the stop on your platform.
Worked example: $10,000 account, 6% static max loss, 5% daily limit
The max loss floor is $9,400. If you start the day at $10,000, today's daily floor is $9,500, so your buffer is $500. Risking 25% of it ($125) on EUR/USD with a 30-pip stop ($300 per lot) allows 0.41 lots. With a 45-pip target, each win at 0.41 lots makes $184.50, so reaching a $1,000 profit target takes 6 more wins than losses.
Maximum size at a 50% risk share
| Instrument (stop) | Risk per 1 lot / contract | $2,000 buffer | $1,000 buffer | $500 buffer |
|---|---|---|---|---|
| EUR/USD (30 pips) | $300 | 3.33 lots | 1.66 lots | 0.83 lot |
| XAU/USD, 100 oz ($10) | $1,000 | 1.00 lot | 0.50 lot | 0.25 lot |
| BTC/USD, 1 BTC ($2,000) | $2,000 | 0.50 lot | 0.25 lot | 0.12 lot |
| NQ (20 pts) | $400 | 2 | 1 | 0 |
| MNQ (20 pts) | $40 | 25 | 12 | 6 |
See the floor on your chart
The free, open-source TradeGuard Trailing Floor indicator plots the high-water mark and trailing floor live on TradingView.
This calculator is a planning aid, not financial advice, and not a guarantee against breaching any firm's rules or of passing an evaluation. Lot sizes, pip values and leverage differ between platforms and firms, especially for gold, indices and crypto: check your platform's symbol info. The margin check ignores margin already used by other open trades. Futures values are standard CME point values.