XAUUSD RISK GUIDE
How to calculate your gold position size.
Your lot size should come from the amount you are willing to lose if the stop is hit—not from leverage or guesswork.
The simple formula
Cash risk is your balance multiplied by your chosen risk percentage. Stop distance is the difference between entry and stop-loss. A standard XAUUSD contract is often 100 ounces per lot, but your broker’s specification is the number that matters.
Buy and sell trades
The stop normally sits below entry. A buy at 3,600 with a stop at 3,590 has a $10 stop distance.
The stop normally sits above entry. A sell at 3,600 with a stop at 3,610 also has a $10 stop distance.
Examples on a $1,000 account
$10 stop and 100 oz contract = 0.005 lots, normally below a 0.01 minimum.
$10 stop and 100 oz contract = 0.01 lots.
$10 stop and 100 oz contract = 0.02 lots.
Leverage changes margin, not stop-loss risk
Leverage determines how much margin your broker reserves to open the position. It does not change the loss between entry and stop for the same lot size. At 1:100 leverage, a $3,600 XAUUSD price and 0.01 lot on a 100-ounce contract represents about $3,600 of position value and roughly $36 of margin.
Margin shown by any calculator is an estimate. Broker margin rules, account currency and symbol settings can change the final figure shown inside MT5.
Check these values in MT5
- Contract size
- Minimum volume
- Volume step
- Account leverage and symbol margin rules
Calculate the trade before placing it.
Select Buy or Sell and get your lot size, cash risk, target price and estimated margin.
Educational information only—not financial advice. Trading leveraged products carries significant risk. Verify every value with your broker.