Masaniello Risk Management Calculator for Binary Options
Calculate your binary option position sizes (stakes) based on the Masaniello system. You can use this Masaniello calculator to manage your risk based on your starting balance (which you are ready to risk), total number of trades, expected number of wins, and the average payout from each binary option.
The formula to calculate your next stake is rather complex and depends on the cumulative binomial distribution based on the total number of trades, expected winning options, and the payout you expect to get per winning option.
Example values are given for demonstration purpose.
Fill the form’s first four inputs to start. You can adjust the specific payout percentage for each trade below (by default, the average payout is used). Click on the Win/Loss button to decide the outcome of that binary option — the calculator will output the next trade’s stake.
Your Trading System
Your Trades and Stakes
| # | Payout | Stake | Win / Loss | Outcome | New Balance |
|---|
Important notes
- Your entire balance is at risk in Masaniello risk management system.
- You need a series of a fixed number of non-simultaneous trades — you will decide the option size you are going to buy (stake) based on the outcome of the previous trade.
- Masaniello risk management works only when you can reasonably estimate the number of trades you are going to win in the next series.