Betfair has revolutionalized the manner in which people place bets and you can trade bets in a similar way to how people trade the prices of shares in the stock market. The main difference is that in Betfair trading, you trade the value of a team’s sports odds other than trading the value of a company.
If you have not familiarized yourself a lot with Betfair trading or you are finding it hard to make money from this kind of trading, it is very likely that you are using the wrong approach. Many traders make the mistake of watching an event, open Betfair and then start trading on a whim without having a game plan or strategy. It is essential to avoid this mistake by adopting the strategies that professional Betfair traders use because this is a money making business. In order to execute Betfair trades like a professional, you should do the following;
- Spot an opportunity – Do not enter a trade just for the sake of it. Instead, you should wait until something develops so that you will have a great reason to get involved in the trade. Before entering a trade, it is advisable to note at least three reasons why you think entering into the trade is wise.
- Decide on back and lay points – You may decide to lay first or back first. Either way, your goal should be to make a profit after exiting the trade. Deciding on your lay and back points before a trade will allow you avoid suffering a loss.
- Decide on your stop loss exit strategy – Knowing the amount of money that you are trying to make is essential but you should also have a plan on what you will do if something goes wrong. If you find that your average losses are higher that your average wins, you need a huge strike rate in order to make a profit. Otherwise, you will lose money in the long term.
- Decide on the amount of money you are risking – Most professional Betfair traders will not risk more than three to four percent of their trading bank per trade. You can increase your starting bank using Betfair’s new customer free bet, however this free bonus should be treated as part of your trading capital and looked after accordingly When trading at Betfair, make sure you think about your trading bank per trade. For instance, a fifty tick loss will be much higher than a ten tick loss. You should therefore account for this before entering the market.