Money Management Indicator

Money Management Indicator

The money management indicator helps you trade professionally by identifying your risk appetite in advance and avoiding overtrading. Shows the best stop loss and position size.

The money management calculator automatically determines trading lot sizes based on predetermined loss budgets for each entry. This indicator helps traders control their risks and manage multiple portfolios simultaneously.

Risk management helps you minimize losses and establish discipline as your account grows. This can prevent traders from losing all their funds. Otherwise, unplanned trading activity can seriously damage your trading fund.

In this article, we will explain how convenient it is to accurately control your risk if you apply an automatic indicator to your MT5 platform.

How to Use The Pip Calculator Indicator for MT5
Using the indicator is quite simple. Start by downloading the indicator for free on our website. Just run the indicator and voila!

It automatically calculates the ATR and stop loss value. This is also the risk percentage, stop loss level and position size for your balance. This means that you see the amount that you risk losing if the deal does not go according to your scenario. By default, the indicator sets the risk at 1%. However, you can change your risk tolerance and position size. If your risk appetite is 2%, simply change the risk percentage or risk amount (the amount of money you are willing to risk).

Example of a real deal

The chart shows the price movement of AUD against JPY. The bar shows risk money and position size in the lower left corner of the price chart. For example, the position size on this demo account is 0.82 lots. The money at risk is $50 of the $5,000 account balance, which is 1% of the total account balance.

The indicator has set a stop loss below the entry level, indicating a buy signal. Entry level is 93.567, stop loss is 93.399, which means a risk tolerance of 168 points.

You only need to fill out this information and you’re done. You can use a 1:3 risk reward to set your take profit level. Using a trailing stop can help you lock in more profits.

Conclusion
The money management indicator takes your trading to the next level by adding risk management to your strategy. It determines the appropriate position size and stop loss level. This way you trade safely and won’t lose your account. This helps avoid over-trading, especially for new traders. Automatic position sizing helps you trade efficiently and quickly without risking your account. This is definitely the tech tool you need.