Module 3 · Lesson 10 · 9 min

Sizing Caps: 2–5% Per Pair

What you'll be able to do

  • Calculate what one pair can lose at its stop and in a gap, from A notional, σ and the z levels.
  • Explain why the 2 to 5% cap is a loss budget and why size does not scale with |z|.
  • Find which limit binds first for an account: the 1% rule, the per-pair cap, depth or the 10% protocol rule.

This course is for members.

The DeFi University membership on Skool opens all 31 courses here, plus the live calls and community. Private coaching clients have access too.