Position Size Forex Calculator is a free mt4 (Metatrader 4) indicator that calculates the recommended position size for any trading account.
The indicator appears in the upper left part of the trading screen.
It shows the following information: entry level, stop-loss, risk, account balance, risk money, and position size.
Free Download
Download the “position-size-calculator.mq4” indicator for MT4
Indicator Chart (EUR/USD H4)
The picture below shows the Position Size Forex Calculator mt4 indicator in action on the trading chart.
Indicator Specifications & Inputs:
Trading Platform: Developed for Metatrader 4 (MT4)
Currency pairs: Works for any pair
Time frames: Works for any time frame
Trade Style: Works for scalping, day trading and swing trading
Input Parameters: Variable (inputs tab), color settings & style
Indicator type: Market info
Does the indicator repaint? No.
Position Size Calculator + Detrended Synthetic Price Histogram Scalping Strategy for MT4
This scalping strategy combines two powerful tools: the Position Size Forex Calculator, which calculates the ideal position size based on your account balance and risk tolerance, and the Detrended Synthetic Price Histogram Indicator, which provides clear buy and sell signals using green and red histogram bars.
This method aims to scalp small but consistent profits on short-term charts (M1 to M5), while maintaining strict risk control through the Position Size Calculator.
The Detrended Synthetic Price Histogram helps pinpoint fast intraday reversals, ideal for traders who thrive on quick entries and exits during high-liquidity sessions.
Buy Entry Rules
- Open your Position Size Calculator and determine the optimal lot size for your account based on your chosen risk percentage (e.g., 1% of balance).
- Wait for the Detrended Synthetic Price Histogram to display a green bar, signaling a potential short-term bullish move.
- Confirm that the current price is not near a strong resistance area or recent high.
- Open a buy position as soon as the green bar appears and the next candle opens.
- Set your stop loss 5–8 pips below the recent minor swing low.
- Take profit at 1.5× to 2× your stop distance, or close when a red histogram bar forms.
Sell Entry Rules
- Use the Position Size Calculator to adjust your trade size according to the balance and risk.
- Wait for the Detrended Synthetic Price Histogram to print a red bar, indicating a bearish signal.
- Confirm that the price is not near major support or daily low levels.
- Enter a sell position at the open of the next candle.
- Place your stop loss 5–8 pips above the last minor swing high.
- Take profit at 1.5× to 2× the risk distance, or close when a green bar appears.
Advantages
- Ensures every trade is properly sized based on real account balance, preventing over-leverage.
- Provides instant, color-coded entry signals with no need for complex analysis.
- Ideal for quick scalping sessions where timing and accuracy matter most.
- Helps maintain a balanced risk-to-reward profile through strict position control.
- It can be applied across multiple major currency pairs for diversification.
Drawbacks
- Scalping requires focus and fast execution, which can be stressful for new traders.
- False signals can occur during low volatility or flat sessions.
- Frequent trading increases exposure to spreads and commissions.
Example Case Study 1 – USD/CHF on M1
During the London open, USD/CHF was trading around 0.9065.
The Detrended Synthetic Price Histogram flashed a green bar, showing short-term bullish pressure.
The Position Size Calculator determined a 0.10 lot size for a $2,000 account with 1% risk.
A buy trade was placed at 0.9067 with a 6-pip stop loss and 12-pip take profit.
Within 10 minutes, the pair climbed to 0.9079, hitting the target.
The accurate position sizing ensured risk remained consistent even during fast market conditions.
Example Case Study 2 – EUR/JPY on M5
Later in the day, EUR/JPY was consolidating near 158.20.
The Detrended Synthetic Price Histogram printed a red bar, indicating a short opportunity.
Using the Position Size Calculator, the lot size was set to maintain 1% risk.
A sell trade was opened at 158.18, stop loss at 158.26, and take profit at 158.02.
The trade played out within 30 minutes, reaching the target for a 16-pip profit.
Proper lot sizing ensured the risk stayed consistent even with EUR/JPY’s higher volatility.
Strategy Tips
- Trade only during high-volume periods (London or New York sessions) to catch fast momentum moves.
- Always calculate position size before entering any trade to avoid oversized exposure.
- Prefer major pairs like EUR/USD, GBP/USD, USD/JPY, and AUD/USD for tighter spreads and smoother execution.
- Close trades quickly if the opposite signal appears or if the momentum fades.
- Use a VPS or fast connection to minimize execution delays during scalping.
This MT4 scalping strategy offers a structured and disciplined way to trade short-term price movements.
The Position Size Forex Calculator keeps your money management tight, while the Detrended Synthetic Price Histogram helps identify quick intraday reversals.
By combining precision signals with calculated trade sizing, you gain better consistency and control in your trading results.
Download Now
Download the “position-size-calculator.mq4” indicator for Metatrader 4
