Shares = risk budget ÷ (entry − stop), capped by cash. Size comes from the stop distance, not from conviction.
How to read it
Decide risk first (e.g. 1% of account), find the stop level, THEN shares = risk ÷ (entry − stop). Conviction never enters the formula.
Example
Account 100,000 · risk 1% = 1,000 · entry 50, stop 46 → 1,000 ÷ 4 = 250 shares.
Related terms
Definitions describe how Easy Sahm computes and reads each figure. Analysis, not financial advice.