diff --git a/docs/edge.md b/docs/edge.md
index e5575554b..499b91e7b 100644
--- a/docs/edge.md
+++ b/docs/edge.md
@@ -82,9 +82,7 @@ Edge dictates the stake amount for each trade to the bot according to the follow
 
 Allowed capital at risk is calculated as follows:
 
-**allowed capital at risk** = **total capital** X **allowed risk per trade**
-
-**total capital** is your stake amount.
+**allowed capital at risk** = **capital_available_percentage** X **allowed risk per trade**
 
 **Stoploss** is calculated as described above against historical data.
 
@@ -93,7 +91,7 @@ Your position size then will be:
 **position size** = **allowed capital at risk** / **stoploss**
 
 Example:
-Let's say your stake amount is 3 ETH, you would allow 1% of risk for each trade. thus your allowed capital at risk would be **3 x 0.01 = 0.03 ETH**. Let's assume Edge has calculated that for **XLM/ETH** market your stoploss should be at 2%. So your position size will be **0.03 / 0.02= 1.5ETH**.<br/>
+Let's say the stake currency is ETH and you have 10 ETH on the exchange, your **capital_available_percentage** is 50% and you would allow 1% of risk for each trade. thus your available capital for trading is **10 x 0.5 = 5 ETH** and allowed capital at risk would be **5 x 0.01 = 0.05 ETH**. Let's assume Edge has calculated that for **XLM/ETH** market your stoploss should be at 2%. So your position size will be **0.05 / 0.02= 2.5ETH**.<br/>
 
 ## Configurations
 Edge has following configurations:
@@ -111,6 +109,11 @@ Number of days of data against which Edge calculates Win Rate, Risk Reward and E
 Note that it downloads historical data so increasing this number would lead to slowing down the bot<br/>
 (default to 7)
 
+#### capital_available_percentage
+This is the percentage of the total capital on exchange in stake currency. <br/>
+As an example if you have 100 USDT available in your wallet on the exchange and this value is 0.5 (which is 50%), then the bot will use a maximum amount of 50 USDT for trading and considers it as available capital.
+(default to 0.5)
+
 #### allowed_risk
 Percentage of allowed risk per trade<br/>
 (default to 0.01 [1%])