Spread Betting tips
Spread Betting offers an alternative way to bet over the standard fixed odds style. It allows you to win more money based on how accurate you are.
It is often seen as a more difficult system to master than that of fixed odds betting, with many claiming that this sort of betting isn’t for the normal, everyday punter.
The amount a person can win or lose will be determined by how right or wrong they are. That’s the bottom line.
To buy or to sell?
You will hear the term buy and the term sell a lot when it comes to spread betting.
To put it simply, if you feel the quote by the bookmaker is low, you would buy at the higher price. On the other hand, if you felt the quote was too high, you would sell at the lower price.
The spread between the low and high quotes is to give the bookmaker the chance to make money.
How much do you want to bet?
Now you’ve decided whether you are going to buy or sell you need to decide how much money you’re going to bet with. With spread betting you are backing per unit, so it could be a bet on how many goals that are scored in a game between Everton and Liverpool. The unit that you would be betting on is the goals.
For example, you could be betting on the amount of goals that will be scored, the market being called ‘Total Goals.’
So the spread may be set at 2.7 – 3 goals. If you think it will be a tight affair, you’d sell. If you envisage a wide open game with loads of goals, you’d buy.
Bet Buy Total Goals @3 for £10 per goal
If the game finished 3-2 that means 5 goals were scored. That’s 2 more than you made your buy at. So you’d win £20.
However, if the game was a stalemate and finished 0-0, there would have been 3 less goals than you made your buy at. This means you would lose £30.
Close a bet in-running
In fixed odds betting, once the bet is struck you can’t change it. So if you backed Leicester City to win and at half time they’re still drawing 0-0, there’s nothing you can do using the original bet to work things in your favour.
It is slightly different with spread betting. The prices offered change due to the situation. You can sort of take your money and run by performing a sell to close bet. This is done by selling the level for more than you bought it for. Like buying a car cheap and selling it on for more.
Spread betting tips
- Prepare for the worst. Calculate just how much you could lose.
- Bet with amounts you feel comfortable with.
- Don’t use cover bets when things go wrong.
- Only bet on markets and sports that you understand fully.
Spread betting terms
- Buy – You are betting that the higher number or value will be exceeded.
- Sell – You are betting that the lower number or value will not be reached.
- Spread – The difference between the buy and sell quotes/values.
- Mid-point – The exact point between the buy and sell values.