Understanding Position Sizing Beyond 'X% of Account'

Most people talk about position sizing as a fixed percentage of their account, but that's a rookie mistake. Real position sizing is about calibrating your risk per trade based on your stop-loss and then working backward to the number of units. For example, if you risk $100 per trade and your stop on $RBLX is $1 below your entry, you can only buy 100 shares. It's not about how much money you have, but how much you lose if you're wrong.