3 Simple Horse Racing Trading Strategies for Betfair
5 stars based on
Successful Betfair techniques are built around good risk-management. This week Caan talks about how you can find some of these opportunities Some stake too much, others might simply be trading without a clear plan". If you're looking for low risk trading strategies, you're already off to a good start. Far too many new traders don't take their level of risk seriously enough. Some people might use stakes that are too large. Others might simply be trading without a clear plan, which is risky in itself.
Creating a plan or a trading strategy as a new trader can be difficult. Of course, it's much easier to plan something that you've done a thousand times previously! Hopefully this article will help you with that as I share a simple, low risk trading technique that I use every day in the Betfair markets. However, with a clear head and a solid plan, you can minimise that risk substantially. Using horse trading strategy betfair techniques below, you can create a steady profit and build your bank.
Before getting started, it's important to make sure you have minimised any other areas of potential risk. Make sure you have a reliable internet connection, a backup connection and a separate device. These can be used horse trading strategy betfair close out of a position in case you have horse trading strategy betfair kind of technical failure. There are all kinds of people throwing money around in sports markets. It's impossible to know everybody's intentions within the market.
However, we can summarise the majority of participants fall into one of two categories: Value Creators and Value Takers. Essentially, Value Creators are people who are active within the market but don't necessarily care about the exact price they are getting. They might happily put a big stake within the market and take whatever price is available.
Here's a list of people who might fall into the Value Creators category:. They usually have a rough idea of price but won't care about the exact price, to the tick that they get.
Punters generally don't trade out so will usually just place one single back or lay bet. They are quite happy to take any price they can get so long as they exit quickly, before the price moves against them even further.
All of these people create value within the market by being inefficient. They are happy to take any price, even if it is far away from the "correct" price for that particular horse. This is where the efficient, Value Takers come into action! Value Takers take advantage of situations where money is available at good value odds. If a large bet comes into the market, people will often panic.
The market behaves erratically, creating value for the Value Takers to snap up. The techniques below will look at low risk approaches to taking value from the markets.
Short-term Trades There are lots of different approaches to Betfair's Exchange markets. So long as they are profitable, all of them are just as valid as each other.
However, we're looking to keep things as low risk as possible. For that reason, we horse trading strategy betfair to adopt a defensive style, keeping trades short term, often offering a horse trading strategy betfair entry away from the active price. Being defensive like this means that we will probably have less horse trading strategy betfair, but they should have horse trading strategy betfair higher strike rate. Low risk, short term trading involves placing orders outside of the trading activity.
For example, if the price of a horse is trading between [5. We now have stakes sitting either side of the market activity. You'll often see that the market will move outside of recent activity for a short period, only to come back and trade within its normal range.
Our technique takes advantage of these small detours from the normal traded range, the catch being you'll have to be fast in order to avoid the price going past your entry. We're looking to get matched either side of the activity so we can trade out for a profit once it goes back within the usual range. A quick, short-term win. And if not, we horse trading strategy betfair to cancel the bet my matching the opposing back or lay at horse trading strategy betfair same price.
Laying Low If you look hard enough, there are plenty of opportunities to lay at low odds. For example, if we lay a horse at odds of [1. Of course, the odds suggest that this horse has very high chance of winning. For this reason, we want to be able to make a profit whether it wins or loses. If however, you have a reason that you suspect the market will 'bounce' or be volatile, you could see yourself stealing a little short-term profit for minimal risk. Using trading software such as Geeks Toy will make it easier to place these bets.
Simple Features To minimise our risk even further, we can use additional features trading software offers. Stop-losses are usually used for longer-term trades. This is because the volatility expressed in betting markets can trigger the stop too soon, especially if horse trading strategy betfair not far from your entry.
On the other hand you have tick-offset, useful of in-play betting. Horse trading strategy betfair your opening bet is matched, the counter-bet will be placed at a pre-designated price you have selected. So if you think to the point made about laying low and offering bets outside of the traded range, you could offer a bet away from the price with the 'offset' to be placed as soon as it is matched.
Expert Guide Find out more about Caan and how he started here. Starting with low risk trading strategies is a great way to find your feet on the Betfair Exchange. Join today View market. Why do I say this? All kinds of trading involve some degree of risk. There is no escaping that fact. Becoming a Value Taker There are all kinds of horse trading strategy betfair throwing money around in sports markets. Here's a list of people who might fall into the Value Creators category: See more from Caan Berry Here.
Caan Berry's top tips to turning a profit Horse trading strategy betfair your sport knowledge to trade Betfair Exchange: