Your plan 5 / 5
Your plan · Level 5Practice

Practice: size the trade before you take it

Sizing is the one part of a trade you fully control. Nine real trades, each with an entry and a stop already set; your job is the size.

You will learn
  • Size a position from the stop distance on real charts
  • See that correct sizing caps every loss at the plan's risk

Before you start: The lessons on risk and position size, and on a trading plan.

How it works

Each chart is a real 4-hour BTC/USDT trade by one rule: enter at the close of a candle that broke structure, with the stop just beyond the extreme of the 10 candles before it. Your account is $10,000 and you risk 1% — $100 — on every trade. Pick the position that loses exactly $100 if the stop is hit.

Then the chart shows the next 12 candles and what that position did.

Size it — nine real 4-hour BTC/USDT trades between November 2025 and May 2026, with stops between 2.18% and 11.04% away. The right position runs from $906 to $4,587; at the right size, no single trade could lose more than $100.

What it trains

The rule used here is simple, and in these nine trades it did not make money — the score is not about the rule. It is about the habit: the size comes from the stop, so a wide stop means a small position and a tight stop a large one, and the loss stays the same.

Takeaways
  1. Position = risk ÷ stop distance.
  2. Wide stop, small position; tight stop, large position; the same loss.
  3. Size first, then decide whether the trade is worth taking.

Open BTC in the terminal and size a trade on the chart in front of you

Further reading

Education only, not financial advice · Updated 28 Oct 2026 · Data: Binance · Report a mistake