What’s the optimal risk & reward amount per trade per day?

In gambling, there’s something called “kelly criterion” which objectively gives an amount of money you should bet to make the best amount of money over hundreds of runs.

Is there something like that for trading too?

For example, I am currently betting about 750 rs per trade and hoping to make about 750 if I am right.

Given that I am currently working exclusively with 20 delta options, it means I am ideally supposed to win 80% of the time. Let’s assume it as 66% instead.

Currently, 750 rs per trade is a risk or reward of 0.02% of my capital. So a pretty negligible amount.

What’s the optimum risk for trading in such a way? Similar to kelly criterion?

Posted Nov 14, 2025, 1:50 PM UTC

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