Sports Betting Basics

The purpose of this article is to help give the beginning sports bettor
the knowledge necessary to understand the basics of sports betting.


Topics covered in this article include: where to wager,
reading and understanding odds, basic sports handicapping techniques,
and common pitfalls the bettor should avoid.


The most important realization you should have after reading
this article is that "getting rich quick" is not possible by betting on
sports. Most of the new sports bettors do not understand this. Getting
ahead of the game by understanding this will not only save you much
headache, but money as well.



Where To Bet


There are currently two legal ways of betting sports in the
United States: in Las Vegas or in a foreign country over the internet.


Local bookmakers are common throughout the United States.
These operations, however, are illegally booking bets with you. Because
of this, these bookmakers are typically unreliable and are shady
operations to deal with.


With the advent of large internet sports books, the sports
betting market has become more efficient than at any time in the past.
It has also become more reputable. Always find a legally licensed
sportsbook to do business with.



Reading and Understanding Odds



There are three major odds formats used for calculating the payout of a sports wager: american, decimal, and fractional.


The most common odds format used in the US is american. A 100
base system is used for calculate the payout of american odds. Negative
numbers list the amount required to risk in order to win 100. Positive
numbers list the amount won when risking 100.



Example: -110 means you must risk 110 to win 100. +120 means when you risk 100 you will win 120.


The second major odds format is decimal odds, also known as
European odds. To calculate the payout of decimal odds simply multiply
the amount risked by the decimal number and subtract the amount risked.



Example: To calculate the payout of risking 100 at odds listed
at 1.9091 perform the following mathematical calculations: multiply 100
by 1.9091 (100 * 1.9091); subtract 100 from the result (190.91 - 100);
final result equals 90.91.


The third major odds format is fractional odds, also known as
British or UK odds. These fractional odds are fractions such as 10/11.
To calculate the payout of fractional odds simply multiply the
numerator (top number top) by the amount risked and then divide the
result by the denominator (bottom number) of the fraction.



Example: To calculate the payout of risking 100 at odds listed
at 10/11 perform the following mathematical calculations: multiply 100
by 10 (100 * 10); divide the result by 11 (1000 / 11); final result
equals 90.91.



To calculate the payout for odds in american, decimal, or fractional formats use the payout calculator.
To convert between american, decimal, or fractional odds formats use the odds converter.



Once you are able to read odds you must understand what they mean to you, and it's more than how to calculate the payout.


Understanding the odds you're playing into is a key component
to making a profit in the long term. As an example, the break even
percentage for the standard odds listed at -110 is 52.38%. The
sportsbook touts spreads and totals as 50% propositions. At standard
odds, however, the break even percentage is 52.38%.


As you can see it would make no sense to make a wager on a
play that you feel has a 50% chance of winning if it requires you to
win at least 52.38% of your wagers to break even.



To get the break even percentage for odds other than the standard -110 use the money line converter.



Basic Sports Handicapping Techniques


The most common sports handicapping the new sports bettor uses
is to use trends. The problem with using trends is that they are not
statistically significant. Knowing that a team is 4-0 in a given
situation or a team is 7-2 in a given situation does not make it a good
reason to risk money on a given side or total.


Sports handicapping is tough work. There is no special
mathematical formula or trend that will guarantee you a long term
profit.


At a basic level, a mathematical prediction should be used to
get an idea where the teams in a given game matchup. A mathematical
prediction should be the foundation for any solid handicapping regime.


A mathematical prediction alone, however, will only get you
into trouble. Statistical models are not in charge of playing the game
in question. You must take into account the current psychological and
physiological conditions that affect the game, such as scheduling and
the current mental health of the team.



Pitfalls To Avoid


Faulty money management is arguably the number one reason why
new sports bettors fail to win money. A solid money management system
is necessary to win money over the long haul. For more help in this
area read the money management guide.



Another trap sports bettors fall into are parlays and teasers. The
problem with parlays and teasers is that, in most cases, you a paying a
higher price for the parlay or teaser than you are over straight
wagers. Parlays and teasers can offer some value. Most sports
handicappers, however, do not have the patience or time to properly
find value with these wagers. It is best to stay away from them unless
you are in the minority that can properly use these wagers.


One final pitfall is the use of second half wagers. The
biggest problem with these wagers is the use of emotion by the sports
bettor. The bettor must understand that second half adjustments are a
big part of every game, and that what happens in the first half does
not mean the trend will continue in the second half.



Summary


After reading this article you now know where to bet, how to
read and understand american, decimal, and fractional odds formats, a
few basic sports handicapping techniques, and some common pitfalls to
avoid. You should now have a foundation to continue learning more about
sports betting and sports handicapping.