Passion for soccer but also an expert on most sports markets
Passion for soccer but also an expert on most sports markets
A New York native, Thomas Chambers has had a passion for sports for as long as he can remember. During an eclectic career as a freelance journalist, Thomas has covered all manner of sports – but soccer is his biggest passion. After freelancing for GamblingGuy for several years, we finally convinced him to join us permanently as an editor in 2015. He is an industry-leading expert on everything sports betting.
Sports trading is a new concept in this country, made possible by the opening of the first betting exchange the USA has seen. To help you get the most from your sports trades, we have put together this concise guide.
While a sports bettor places their wager and waits for events to unfold, a sports trader has more control over the outcome, meaning that the strategies that they use are crucially important. So, while various sports trading techniques will come and go, these tips will help win more often regardless of which of those proven techniques you use.
So, how does betting work on a betting exchange? Well, sports trading as we prefer to describe it, looks to add a new dimension to sports betting by fusing what you already know with the principles you might have seen used before in the stock market. While this might sound complicated, all that is happening in practice is that you are trading bets instead of placing them. Just like the stock market, there are several techniques experienced users over the age of 21 employ to make a profit.
But, if you thought that sports betting trading was all about the technique you used, you would not be entirely correct. There are many techniques that will generate profitable sports trades, but it is how you use them that is more important, and by following these 7 steps you should find that making a profit using any of those techniques becomes easier.
1: Set realistic goals
You started looking at sports trading for a reason, maybe you are quite risk-averse, and like the idea of betting with a safety net, or more likely you saw another trader making big profits and want to emulate them. You might even be using the same technique that they use, but you should be more realistic about your results.
Successful sports trading offers profits that are typically only a small percentage of the whole sum being traded, so early on, your returns are likely to be very small until your bank has grown. Be aware of this from the start, and don’t veer away from your plan to chase larger sums.
2: Don’t skip the research
Only very few people, like those who trade sports as their main income, can be trading all day. The rest of us have day jobs, families to spend time with, and all of the usual day-to-day stuff that fills our lives. That means you need to plan the time when you are sports trading and stick to it.
This includes the research you need to do to spot your potential trades for the day. This is usually best done in the morning, so you can trade as the day goes on and other commitments allow. Don’t just log in five minutes before and go with your gut, as this never goes well in the long run.
More importantly, if an event is taking place that doesn’t fit the research criteria – stay well away and don’t just try and trade because you have spare time.
3: Money Management
This is also referred to as ‘bank management’ and helps you define your staking plan. Rather than throwing every penny you have into a single sport trade, using a proportion, usually around 5-10% of your total fund, is advisable. This way, not only can you have more than one sport trades on the go at once, if things go badly wrong, your bank won’t get wiped out.
This tip will help you increase your bank over time, and ideally won’t withdraw any of your profits until it has reached a substantial size. For instance, if you trade until your bank hits $5000, your profits could then be around $1000 each month which you could easily withdraw without affecting your trading bank.
4: Don’t get emotional
This is much easier said than done. It doesn’t matter whether you play or trade sports, you need to stop your heart from ruling your head. If a series of sports trades don’t go as planned (it usually won’t be as damaging as losing a sports bet, but it is still frustrating) then getting desperate and attempting trades that you wouldn’t normally take because you are chasing your losses is not likely to end well.
Equally, when you’ve just had six or seven winning sport trades in a row, don’t get greedy and attempt to trade something that doesn’t fit the right criteria just because you want to feel that same buzz or want to packet another $50 or so.
5: Refine and improve
You should also take time out to look at the technique you are using, and if necessary, tweak it if you think it can be improved. However, you should not try this until you have been using the technique for several months and have the results to back your decision.
You should also do the same when you are testing your refinements, give yourself time to get the results data you need to prove or disprove that the changes you made work. Never just go with your gut, or something you have seen based on just one or two examples that could easily be classed as flukes.
6: Be honest with yourself
When looking at your results, or even the technique you are using, make sure you are being honest with yourself. There is a tendency among even the more experienced sports traders to mentally filter out results that don’t quite fit with what you wanted to happen, and find spurious reasons why that loss ‘doesn’t count’.
Being in denial when something isn’t working, or you aren’t following your own rules will lose you money much faster than almost anything else, and it highlights more than ever that successful sports trading is as much about what goes on in your head as it is what happens on the sports field.
7: Use online resources
While you may have started with one proven technique, you may find that some will dovetail neatly with others. If you check out our US gambling guide you will see that for yourself. It also means that a fair bit of the subject matter will overlap, so you might actually have to do less research than you originally thought, which is another bonus. Finding these extra techniques can be easier than you thought as they can usually be found on websites just like this one.
GamblingGuy has an expanding section on tips and techniques to help you get a better return on your wagers and trades and checking back frequently can keep you up to date with profitable sports trading techniques being developed for the US sports market.
Conclusion – Get the latest sports trading tips here!
Sports trading is likely to be one of the growth areas of online wagering in the next 12 months and beyond. The flexibility of trading sport stocks instead of just placing a bet and hoping, is bound to turn more heads as the reach of betting exchanges increases.
By applying these 7 tips to any technique you choose to use, you can build a bank, do your research and set yourself on the path to making some big profits from sports trading.
Check out these top US sportsbooks
Sports trading FAQ
🏈 Can I still trade sports using a regular sportsbook?
So, what is different about an exchange? Sports trading uses the principles of regular sports betting and mixes them with stock market trading to create something not many people will have seen before. While it is a new concept in the US, it has been a major part of sports betting in the UK for over a decade and looks like it is going to be just as big here. You can find out more about sports trading and how it all works by checking out this short guide.
ℹ️ Is sports trading risk-free?
That will depend on what you mean by ‘risk-free’ Sports trading can give you more control than just placing a bet, allowing you to exit a losing position, but whether or not that will fit in with your definition of risk-free you can only be answered by finding out more about this new subject in our free guides.
🤔 How old do you have to be to start sports trading?
A betting exchange, where your sports trading activity takes place, has to be licensed to operate, just the same as a regular sportsbook, and has many other things in common with sportsbook operations as well. To find out if those many similarities include being 21 or over to join, check out our US sports betting guide, full of tips to boost your sports trading.
🧐 Is sports trading the same as gambling?
Whether or not sports trading is the same as gambling is very much an ongoing debate that very much centers around what people interpret as gambling. To find out more about both sides of this debate, and hopefully the answer you are looking for, check out our online resources including our guide to sports trading and our gambling odds explained guide.
💰 How much can I make from trading sports?
Looking for the best online USA bookmaker to place your bets at? Sports trading does not give you the same results as sports betting. Whether you win or lose the results should be smaller in size than just placing a wager. For that reason, it is difficult to answer this question without looking at the subject of sports trading in more detail. To get the full story on sports trading and how much you could make, check out this online guide.