How to calculate order position size / total amount in USD? - page 2

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Keith Watford:

No.

I am guessing that you want to calculate how much you would lose if your SL is hit.

So calculate the loss that you can expect ie. with a buy OrderOpenPrice -StopLoss

divide that by TickSize to see how many ticks are at stake

multiply that by TickValue and you will get how much you will lose if you place an order of 1.00 Lots.

No, that's not what I want, I want to know "how much" is 1 Lot, before buying 1 Lot, I think is a really basic thing.

I mean, if I buy 1 Lot of bread, they will tell me ok it's 1kg of bread and it's $150USD for example, and I will pay $150USD, that's the real thing.

When I'm buying 1Lot in BTCUSD what does that mean? how many BTC I'm buying? and how much in USD is that? (knowing just one of those I can deduct the other)

Right now is like opening a position blindly to me, I don't know how many shares I'm buying and what is the amount in USD I'm investing on that, I don't care the risk, I just one to know how many shares and usd is 1 lot before opening it, is that possible?

 
enrique3: I want to know "how much" is 1 Lot, before buying 1 Lot, I think is a really basic thing.
No it's not. You buy one lot and immediately close it. You loose the spread worth. You are trading changes in rates, not buying things.Start learning:
          Learn Forex Trading at School of Pipsology - BabyPips.com
  1. In code: Risk depends on your initial stop loss, lot size, and the value of the pair.
    1. You place the stop where it needs to be - where the reason for the trade is no longer valid. E.g. trading a support bounce the stop goes below the support.
    2. Account Balance * percent/100 = RISK = OrderLots * (|OrderOpenPrice - OrderStopLoss| * DeltaPerLot + CommissionPerLot) (Note OOP-OSL includes the SPREAD, and DeltaPerLot is usually around $10/pip but it takes account of the exchange rates of the pair vs. your account currency.)
    3. Do NOT use TickValue by itself - DeltaPerLot and verify that MODE_TICKVALUE is returning a value in your deposit currency, as promised by the documentation, or whether it is returning a value in the instrument's base currency.
                MODE_TICKVALUE is not reliable on non-fx instruments with many brokers.
    4. You must normalize lots properly and check against min and max.
    5. You must also check FreeMargin to avoid stop out
    Most pairs are worth about $10 per PIP. A $5 risk with a (very small) 5 PIP SL is $5/$10/5=0.1 Lots maximum.
  2. Use a GUI EA like mine (for MT4): Indicators: 'Money Manager Graphic Tool' indicator by 'takycard' Forum - Page 6
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