Sports trading is basically the buying and selling of positions within a particular sports event. Explaining it this way seems to be very simple, and with study and dedication you will see that it really is. Comparing it with the financial market, where you buy a stock, shares or assets in a company, we suppose that there was a purchase of a share at $10.00, and within a few months this share became worth $14, 00, you would have the option to sell it for a value greater than the price at which it was purchased. It could also have happened that this share depreciated, and became worth, for example, $6.00, in which case you would have the option to sell for a lower value than the amount you paid for it. Regardless of whether it appreciates or not, these buying and selling actions create a market.
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In the sports market it works in the same way, the sports trader buys and sells, only instead of buying shares or assets, he is buying a probability of the event happening or not. Giving an example within a football match, we will have a game between Team A and Team B, and after your studies you identify a great value in the line of over 2.5 goals at an odd of 2.50, and buy that position with 25 minutes of play. The match is 1 to 1 and the line you bought at 2.50 has dropped to 1.35, because the event at that moment is more likely to happen, and you have the option to sell your position with your guaranteed profit.
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All events within a match have a probability, and this probability is converted into quotes that change as the actions within the event occur, and then you, watching the game, can decide to buy or sell positions within these movements in market odds. This is sports trading, buying and selling odds within sporting events.
Sports trading X Sports betting
In essence, both are bets. The difference is that in sports betting the person will be betting against a bookmaker. It offers odds for the events and the bettor goes there and places a bet on the event, if it happens you win and the house loses, and if the event doesn't happen you lose and the house wins the amount bet. In sports trading, you bet against another trader, in this case if you lose someone else wins, and if that person loses you win, this generates a circulation of money within the sports exchange.
What is not the sports trading?
It is important that we undo the lies about the market to make it more transparent, because the most likely person is to enter it through an advertisement on a social network promising easy money sitting on the couch, and in fact it is not so, you can be profitable within the market, but only with a lot of study and dedication. All your work, creating methods, managing your bankroll and analyzing your results on a constant basis, in search of always being updated on your results and performances, can put you one step ahead of your “companions” of Marketplace. And finally, a valuable secret to success in sports trading: Always be better than you were yesterday. This tip can even be used for everyday life.
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