PositionPositionA single entry held on the broker account, with a direction, a size, and a current floating result.Click the word to learn more sizing answers a single question: how big should this position be? The math is simple. Take your account equityEquityThe live value of your broker account, including the floating profit or loss of open positions.Click the word to learn more, decide what percentage you are willing to risk on this one position, then size the lot so that if the stop lossStop LossAn exit order that closes a losing position the moment a chosen price level is hit.Click the word to learn more hits exactly, you lose that amount and nothing more.
What you get out of this is consistency. The dollar risk per position stays roughly constant, whether the account is up, down, or sideways. A fixed lot does the opposite. When your account is bleeding, a fixed lot becomes a bigger relative bet. When your account is winning, the same lot becomes a smaller relative bet. The two together pull risk in exactly the wrong direction.
Algorithms recompute lot sizeLot SizeThe unit a forex order is measured in. One standard lot equals 100,000 units of the base currency.Click the word to learn more at every order. Equity changed since the last position? Lot size adjusts. Volatility expanded, so the stop is wider this time? Lot size shrinks to compensate. The risk envelope stays where you set it.
Javlot copies the lot size the strategy calculated on its source account, scaled to your own equity. Your account is not running larger or smaller bets than the strategy itself. The exposure is proportional. The math holds whether your account is 1,000 or 100,000.