US Oil (WTI) Lot Size Calculator for SpiceProp

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Oil position sizing is uniquely challenging due to its extreme volatility and geopolitical sensitivity. With an average daily range of 1.5 points ($150 per lot), you might think stops can be tight, but oil regularly gaps through technical levels on inventory data, OPEC announcements, or global events. The $10 pip value makes calculations clean, but don't let that fool you into oversizing. For stop placement, I rarely go tighter than 30-40 points on oil, regardless of the daily range. News-driven spikes can easily hit 20-30 points before reversing. A 50-point stop is more realistic for swing trades, while scalpers might get away with 20-25 points if they're watching the screen constantly. Worked example on a $10,000 account: At 1% risk ($100), with a 50-point stop ($500 potential loss per lot), you'd trade 0.2 lots maximum. At 2% risk ($200), that becomes 0.4 lots. These fractional positions might seem small, but oil can move violently against you - I've seen 100-point moves in a session during major news. For SpiceProp's 5.5% daily limit, oil actually works well since you can scale out of positions and the high volatility offers quick profit opportunities. However, the 11% max drawdown requires discipline - oil's tendency to gap means your 50-point stop could become 80 points overnight. The 10% profit target is achievable with oil's big moves, but you need excellent risk management. This instrument suits experienced prop traders who understand energy markets and can handle the psychological pressure of commodity volatility. New traders often get shaken out by oil's violent intraday swings.

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