IB Robot Position Sizing Examples

The IB Robot can use a wide range of position sizing strategies.

  • Fixed Shares - always use a constant share size for each order.
  • Fixed Dollars - always use a constant amount of capital for each order.
  • Risk Based on Stop Loss - use a dynamic share size such that if your stop loss is hit you would lose a specific dollar amount.

Here are some examples:

If you want to trade 100 shares for each order, just use a Position Sizing method of Fixed Shares and put 100 in the shares field:

If you want to allocate a constant dollar amount of $1000 per trade, use a Position Sizing method of Fixed Dollars and put 1000 in the dollars field:

If you want to use a risk based approach and risk a specific amount per trade - that is, lose a specific amount of money if your stop loss is exactly hit (say $100), use a Position Sizing method of Risk Based on Stop Loss and put 100 in the dollars to risk field.

When using the Risk Based on Stop Loss method, you are required to use a stop loss. Set your stop loss method first and then choose the Risk Based on Stop Loss method.