Calculation methodology
How Riqvero separates formulas from broker inputs, handles units and rounding, and verifies calculator results.
1. Separate fixed mathematics from broker inputs
Relationships such as percentage risk, weighted average and compounding are fixed mathematics. Contract size, tick value, margin rate and minimum volume are broker-defined inputs and are treated separately.
2. Start with cash risk
Risk-based sizing begins with cash risk = account reference amount × risk percentage. Stop distance and loss per lot then determine size. Maximum available leverage is checked separately as a margin constraint.
3. State the unit
An FX pip, a JPY-pair pip, a CFD point and a one-dollar-per-ounce gold move are not interchangeable. Currency conversion is required when P/L is not already denominated in the account currency.
4. Round conservatively
When raw size falls between allowed volume steps, rounding down helps keep modeled risk within the budget. Forcing a result up to the minimum lot can exceed the intended percentage risk.
5. Separate execution costs
Spread, commission, financing, slippage and gaps create differences between theoretical and realized P/L. Tools include these inputs where practical; otherwise the output should be understood as a gross calculation.
6. Verification
A useful check is to reproduce the worked example by hand, compare symbol inputs with the MT5 Symbol Specification, and test whether a one-unit price move on a small hypothetical position matches the expected P/L.
Last reviewed: 2026-08-31