Brokerage+ position sizing (the part that actually matters)¶
If you automate trades without sane position sizing, you’re not “systematic”. You’re just faster at making mistakes.
This page explains Brokerage+ sizing options and how I recommend using them.
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Risk + not investment advice
This tutorial is about using software. Trading involves substantial risk. Nothing here is a recommendation to buy or sell any security.
The three common sizing modes¶
1) Fixed dollars¶
Brokerage+ buys a fixed dollar amount per trade.
Pros: - simple
Cons: - risk per trade can vary wildly depending on volatility and stop distance
2) Fixed shares¶
Brokerage+ buys a fixed share count.
Pros: - simple
Cons: - dangerous if your strategy doesn’t enforce a max price
3) Based on stop loss (my default)¶
Shares are calculated from: - your risk budget (e.g., $100 per trade) - the stop distance (how far the stop is from entry)
This is the closest to “risk is consistent”.
Guardrails that matter more than the math¶
Even good sizing fails if you ignore guardrails: - max trades per day - session window (time of day) - “once per day per symbol” style controls (when appropriate)
See: Brokerage+ automation workflow
A practical stop-based sizing workflow¶
- Pick a conservative risk per trade (paper first)
- Confirm your strategy has a lane (price/liquidity)
- Confirm stops/targets/timed exits are sane
- Paper trade and review fills/slippage
FAQ¶
What is the best Brokerage+ position sizing?¶
For most systematic workflows, stop-based sizing is the cleanest because it anchors shares to a fixed risk budget per trade.
Can I use fixed dollars safely?¶
Yes, if your lane and stop distances are consistent. If your stop distances vary a lot, fixed dollars can produce uneven risk.
Next¶
Next step
Turn this into a repeatable workflow
If you only do one thing next, tighten your lane and reduce noise. That's how Trade Ideas becomes usable.
