A system and method for dynamically determining quantity for risk
management are described. According to one example embodiment, as a
trader positions an order icon at a desired price or price-derivative
value on a graphical interface, an order quantity for the order is
dynamically determined based on the order price and a selected risk
management formula. A trader can change the price or the price-related
value for one or more orders by moving the order icons relative to a
price axis on a graphical interface. In such an embodiment, the initially
calculated order quantity for each order will be dynamically recalculated
based on the modified orders for the trading strategy.