Other Bets Props and Futures Some other fun bets that can be made on basketball include prop bets and futures. How To Bet News. Handicapping Your Basketball Bets When oddsmakers set the lines, they take many factors into consideration. If you have even one loss, you lose the entire bet. On the other hand the Magic must either win outright or lose by 3 or fewer points for a Magic spread bet to payout.

The gap widens significantly. For example, you may lose only 50 per cent; however, you need to make double that per cent to return to the initial amount. The probability of an event is generally represented as a real number between zero and one, inclusive. An impossible event has a probability of exactly zero, and a certain event has a probability of one.

As we have a proven method that is profitable in half the trades, the probability of having a profitable trade is 0. The most common analogy used with a probability of 0. When we toss a coin, the probability that it will land heads up on any given coin toss is 0.

So, if we toss the coin 10 times, we would expect that the result will be five heads and five tails. There is, however, no guarantee that this will occur. It is possible, for example, to result in 10 heads in a row.

The key here is that each coin toss is independent. In other words, the outcome of the next toss is unaffected by previous coin tosses, as the coin has no memory retention. I toss the coin once and it lands heads up. For the second coin toss, the probability that it will land heads up again remains at 0. For the third toss, the probability that heads will come up again remains at 0.

Guess what? Do you know what the probability of the fourth coin toss being a head is? It remains the same probability as the coin landing tails up. Are you a probability literate person? As a Forex trader, you should be. Understanding the probabilities is one of the most important conditions for success in Forex market and in any other financial trading field.

Almost all the FX books we have available on our website mention mass misconceptions that roam the minds of beginning and even professional traders. Fooled by Randomness is a good example of a book that is dedicated entirely to the problem of "probability blindness". The most interesting thing about probability literacy is that you do not have to be a math guru to judge probabilities correctly. Even some professors and Ph.

One just has to understand how probabilities work — what they are and what they are not. It is also important to understand how they relate to the real-world processes and events they describe. Quite some time ago, we decided to measure the probability literacy among the visitors of this website, who, presumably, are Forex traders or at least are trying to become them. To that end we launched a survey consisting of three questions with two options for an answer each.

Later, when we gathered enough responses, we conducted some analysis of the obtained answers to publish the study you can find below. Questions about probabilities The results of the suggested polls are quite curious, in our opinion. But first, let us list those questions and the possible answers below. What would you choose? What trading strategy would you choose? Probability questions explained The first question was "What would you choose?

In currency trading, as well as in any other risk-taking activity, a trader has to consider the probability of an outcome and the value of that outcome. Together they form an expected value — a very important yet rather simple to understand term from the probability theory and statistics.

So, the expected value of the first answer is 0. Not bad, at least you are not losing anything here. The expected value for the second answer is calculated as follows: 0. Obviously, the second answer is more favorable than the first one as it yields more than 50 times higher expected gain. The point of this test question was to determine how cautious or greedy are the FX traders when the odds are in their favor.

Those who chose the first answer rarely follow the "let your profits run" rule and usually prefer to take whatever profit the market is offering them.

With luck and probability on your side, you will be a winner in the end. Even the robotic trading systems and expert advisors EA have no secret or magical forex success formula. They use a computer algorithm using probability in trading to determine market probability.

High Probability Trading High probability trading simply implies entering trades that appear to be successful only. The high probability trading system is characterized by 1 bigger time frames like monthly and weekly and 2 support and resistance levels. Conversely, if you are not careful, a single trade could easily wipe out your account without risk management practices. Predicting price movement in forex trading purely relies on forex probabilities.

The price may move against you or in your favor. Consistent and successful traders have developed technical skills to analyze charts , trends, and fundamentals to increase the probability of success in the odds market. Forex Game The new beginners can learn and develop their forex probability skills while playing forex game — free online forex trading game simulation.

Before you start forex trading, it wise to try the forex trading game. While enjoying the forex game, you will learn market analysis and the basics of forex trading. Trading Is A Probability Game Forex trading is a probability game, hence understanding the concept of forex trading is the path to success.

You do not need to learn complex or advanced mathematics to track price movements or do a proper analysis. But, basic knowledge in mathematics, forex trading, probability, and statistical analysis will help you develop a high probability trading system. Furthermore, you will analyze charts and trends better with minimal errors with the high probability trading system. Experienced traders think of forex trading in terms of chance and probability and not a sure trade or investment. They back up their decisions on analysis to increase their chance and probability of success.

The experienced trader does not worry so much about losing or winning trade. They know that profitability comes from consistent trading for some sometimes and maximize their profits by using a high probability forex system. High Probability Forex System Using a high probability forex system is beneficial psychologically.

It helps the trader to be calm, patient, and disciplined while relying on his or her trading strategy to succeed. Besides, using probability in trading, the trader will control the emotions in forex trading such as revenge trading, overtrading, fear of losing, and greed, among others. Even with the best analysis, forex probability understanding will let you know that you will either lose or win a trade.

You are not sure what chance for success the next trade might be in store for you, despite knowing the most probable price movement direction in the market. However, profitability in forex trading is long term activity greatly enhanced by probability based trading.

Understanding random forex and forex series is the first step in learning forex probability. Well, everything, the current trend, news events that are coming up, the market sentiment, any analysis tools that you are using such as Bollinger Bands, Fibonacci levels and so forth all add to the probabilities that you have. One bit of newbie psychology is that a lot can put a dent into your confidence and can make you doubt the strategy, but looking at it from a mathematical perspective, you are in good shape for profits and will continue to win.

Being able to think of trading as a game of numbers rather than your actual money is the best way going forward, this will allow you to concentrate only on those probabilities in the long run and not individual wins and losses. Professional traders are not worried about the next trade winning or losing. What they care about is making money long term and over time.

Forex trading bears intrinsic risks of loss. You must understand that Forex trading, while potentially profitable, can make you lose your money. Never trade with the money that you . Forex Patterns and Probabilities provides read-ers with a rare sense of clarity about the speciﬁc mechanics of currency trading—real world strategies that tell the student . Aug 4, · Many things in life are all about probabilities, forex is no different. The most well-known game of chance is the simple coin flip, it is thrown up into the air and you need to say .