Betfair Hedging
If your trading two runner markets like Tennis, Cricket, O/U X.5 goals in soccer etc then you should be using ‘Optimised Greening’.
Go to Betfair and select your chosen game from the in-play coupon and go to the under 2.5 goals market and Back the Under 2.5 goals for your chosen stake. Take up in the correct score market the 2-1, 1-2, 2-2 covering roughly 130% on each score line to cover under 2.5 goals liability, although expect lower profit if taking up before the game. It can be used both pre-event and in-play and is a preferred strategy of many professionals, whether traditional “hedge funds” in the stock market or traders on Betfair. Hedging does not guarantee profit – there is no gambling strategy that does (other than matched betting through a tool such as Profit Maximiser ) – but hedging can be. Optimised hedging for increased trading profits. Dallas Posted on 25th August 27th August. If your trading two runner markets like Tennis, Cricket, O/U X.5 goals in soccer etc then you should be using ‘Optimised Greening’. Used by professional Betfair traders all over the world, Bet Angel users now account for a huge amount of liquidity.
Betfair Hedging Formula
By enabling this option within Bet Angel it will give you increased flexibility when greening up allowing you to maximize your profits and minimize your losses in all markets where there are only two selections.
To enable this, go into your main settings area and on to the ‘Green up’ tab, here you will see an option ‘Use Optimised green up calculation for markets with 2 selections’
Once enabled ‘Optimised Greening’ will allow you to green up using either selection which is very useful if you can’t place your greening up bet on the selection you placed your opening trade on ie, due to lack of liquidity.
HOW IT WORKS
Betting Hedging Calculator
For example still with the regular green up calculation being done I have opened a normal lay trade on the 1st selection and the price has now moved in my favour a few ticks and I have the option to green up for a profit, however the best price I can green up at is 1.80 giving a £1.11 profit, and of course you will notice the P/L figures on the 2nd ladder all show £0.00.
Betfair Hedging Strategies
Now with ‘Optimised Greening’ enabled the P/L figures now also appear on the 2nd selection (even though no trade has been opened on that selection), now giving you the opportunity to green up using either selection.
In this example, because I have opened with a lay bet on the first ladder it means to green up using the 2nd ladder when you click a P/L figure it will require another lay bet (not a back bet).
Looking at the 2nd ladder you can see the best price for me to green up at is 2.22 which returns a profit of £3.26, this is an extra £2.15 more profit from the same trade but would not have been possible without enabling the ‘Optimised Greening’ option.
Just from this one trade its giving us a little over 1% extra profit on the initial stake used, added up over several hundred trades and it becomes a serious amount of extra profit for doing nothing differently
Even in a very liquid market with no gaps between the prices on either selection you can still squeeze out extra profits or reduce your losses by using the opposite selection to green up on.
For example, look at the image above again and imagine there are no gaps on either ladder, if the price went 1 tick against you then on the 1st ladder you could green up for a loss of -£1.12, but by using the 2nd ladder the loss is only -£0.99 meaning you will lose 13p less by using the 2nd ladder to green up for a 1 tick loss.
Again over time all these reduced losses will add up and combinded should save you a tidy amount at the end of each month/quarter and with the extra profits made it can make a big difference to every stratergy you use on two runner markets.
Once you have enabled ‘optimised greening’ if you open a market with three or more runners it will automatically revert to the regular greening up calculation, then when you next open a two-runner market it will switch back to optimised greening.
Because of that I personally just have this enabled on all my settings profiles, but if for some reason you would prefer to trade some markets with it enabled and others without it then you can just save separate settings profiles for each.
Exposure is the worst-case scenario liability for each market, i.e. the greatest loss of funds the customer may incur based on any possible market settlement, held by Betfair to ensure the customer has sufficient funds come settlement time.
So these funds are is still in your account, it’s just not available for you to bet again until it is no longer needed to cover your potential liability in that market.
Multiple bets on the same market adjust the exposure whenever a subsequent bet is placed and, exposure can be reduced/released as a result of an opposing bet.
Unlike a traditional Bookmaker, a Betting Exchange holds the customer’s exposure on a market rather than debiting each individual bet from their total account balance (Account Balance).
This is required to accommodate functions unique to a Betting Exchange such as the placing and editing of unmatched bets, and the trading on markets by placing Back and Lay bets on opposing selections. At all times, a customer’s exposure is subtracted from their Account Balance to form their balance that is available for bet placement (Cash Balance).
The Cash Balance is viewable at the top of all customer interfaces and is an accurate representation on how much money the customer has available to spend. It’s not until market settlement that the Account Balance itself, as viewable in the Account Statement, is credited or debited with the final settlement value.