TS TradeSetupPROKnowledge Library
GOLD TRADING / XAUUSD

XAUUSD Risk Planner

Plan position size from acceptable loss before thinking about potential profit.

01

Start with acceptable loss

Define the dollar amount or percentage you are willing to lose on one plan before selecting a lot size.

02

Position size logic

Position size is the amount you are willing to risk divided by the risk per unit between entry and stop loss. Always use the broker contract specification.

03

Review reward and margin

Check the loss at stop, the gain at target, reward-to-risk, required margin, spread and commission before submitting an order.

04

A calculator is not a decision system

A tool reduces arithmetic mistakes; it cannot validate the market thesis, news risk or the quality of an entry.