Professional traders often use a more sophisticated method called , which calculates shares based on the maximum dollar amount they are willing to lose if the trade goes wrong.
If your broker does not support fractional shares , always round down to the nearest whole number to stay within your budget. how many shares can i buy calculator
With a $5,000 budget, a $20 fee, and a stock price of $25, you can buy 199 shares ( Advanced Calculation: Risk-Based Sizing Professional traders often use a more sophisticated method