SizeGuardHome › Guides › How to calculate futures position size
How to calculate futures position size
Three steps: stop in ticks, risk per contract, then divide your dollar risk.
Step 1: your stop in ticks
A tick is the smallest move a contract can make. If you think in points or prices, convert: ticks = stop distance in points ÷ tick size. ES moves in 0.25-point ticks, so a 4-point stop is 16 ticks. With entry and stop prices, the distance is simply entry minus stop.
Step 2: risk per contract
Risk per contract = ticks × tick value. One ES tick is worth $12.50, so 16 ticks risk $200.00 per ES.
Step 3: divide your dollar risk
Contracts = Risk $ ÷ risk per contract, rounded to a whole contract. With $250 to risk: 250 ÷ 200 = 1.25, so 1 ES risks $200. If you want to stay between $225 and $275, 1 ES is too little and 2 ES ($400) is too much. That is where micros help: 16 ticks on MES risk $20.00, so 13 MES risk $260.
More examples at $250 risk
| Contract and stop | Risk per contract | Closest size |
|---|---|---|
| NQ, 15 points (60 ticks) | $300.00 | 8 MNQ ($240.00) |
| GC, $5 (50 ticks) | $500.00 | 5 MGC ($250.00) |
| CL, 20 cents (20 ticks) | $200.00 | 13 MCL ($260.00) |
| YM, 30 points (30 ticks) | $150.00 | 17 MYM ($255.00) |
Do not forget fees
Commissions and exchange fees are part of the loss if your stop is hit. A $5 round trip on a contract with a $50 stop really risks $55. The SizeGuard app can add your fees per standard and micro contract automatically.
Skip the math: use the futures position size calculator, or look up any contract in the tick value table.
Get the SizeGuard app
Same math, in your pocket: SizeGuard remembers your risk, picks standard or micro for you, adds fees and daily loss limits, and logs every trade in a journal. Works offline, no account.
Free 7-day trial, then a one-time $9.99 unlock. No subscription.