Gold position size calculator
The single most important number in gold trading is not the entry — it's the lot size. Enter your balance, your risk percentage and your stop distance, and this tool returns the XAU/USD lot size the 1–2% rule calls for.
XAU/USD profit and loss is denominated in US dollars.
Entry → stop-loss distance in dollars, e.g. 4,350.0 → 4,345.0 = 5.
Risk amount
$3.00
what you lose if the stop is hit
Position size
0.00 lots
= 0 oz of gold
Per $0.10 move
$0.00
profit / loss per 0.10 price change
Your risk budget is below the minimum 0.01 lot (0.0060 lots calculated). Either widen the stop to a level that still invalidates the idea, or accept a slightly higher effective risk with 0.01 lots — never remove the stop to make the maths fit.
Educational tool only — not financial advice. 1 standard XAU/USD lot = 100 oz; a $1.00 move = $100 per lot; broker minimum is typically 0.01 lots. Figures assume the community risk rule of 1–2% per trade. Trading CFDs involves a high level of risk and it is possible to lose more than your initial deposit. The qualifying deposit for the Midlands Gold Traders community offer is £300 into your own PU Prime account.
How the maths works
One standard XAU/USD lot is 100 ounces, so every $1.00 the gold price moves is $100 per lot, and every $0.10 is $10 per lot. If you have $300 in the account, risk 1% ($3.00), and your stop sits $5.00 away, the position can only be $3.00 ÷ ($5.00 × 100) = 0.006 lots — below the 0.01 minimum, which is the calculator telling you to widen the stop, not to remove it.
Read the full walkthrough — pips, points, lots, worked examples and the mistakes to avoid — in our guide to gold pips and lot sizes.
Calculator questions
How do I calculate the lot size for a gold trade?
Lot size = risk amount ÷ (stop distance in dollars × 100). Risk amount is your account balance × your risk percentage (1–2% is the community rule); the × 100 reflects 1 standard XAU/USD lot being 100 oz, so a $1 price move is worth $100 per lot. The calculator above does it instantly.
What is the minimum lot size for gold trading?
Most brokers, including PU Prime on MetaTrader 5, offer a minimum of 0.01 lots — 1 oz of gold. If your 1–2% risk budget calculates below 0.01 lots, widen the stop to a level that still invalidates the trade idea rather than removing the stop.
How much is 0.01 lots on gold?
0.01 lots = 1 oz, so every $1.00 move in the gold price is $1 of profit or loss, and every $0.10 move is about $0.10. At a £300/$ account that's exactly the sizing the 1–2% risk rule calls for on typical stop distances.
Why does position sizing matter more than the entry?
Because sizing decides whether you survive being wrong. A trader risking 2% per trade can be wrong ten times and still have 80% of the account; a trader risking 20% is one bad week from zero — even with identical entries. Size from the stop, never the other way round.
Learn position sizing properly, with people who watch the same market every session — the education rooms, the beginner desks and the full MGT room set are free membership — the £300 is a broker deposit into your own PU Prime account.