If you bet on sporting events, you must be able to read odds and understand what they mean. Furthermore, you need to quickly calculate the potential winnings for different bets, especially if the odds are changing while the event unfolds. Odds tell you the likelihood that an event will occur a team wins, a boxer makes it a certain round and how much will be paid out if you win.
There are, however, multiple ways to convey this information. To read odds, start by finding 2 numbers separated by a dash. These 2 numbers are the odds, and you can turn them into a fraction to figure out the amount of profit you will make per dollar spent.
For example, you might see odds. Odds of indicate that your profit will be three-fifths of a dollar. To figure out profit, multiply the amount you bet by the odds fraction. To learn about moneyline odds and point spreads, read on! Did this summary help you? Yes No. Please help us continue to provide you with our trusted how-to guides and videos for free by whitelisting wikiHow on your ad blocker.
While there are different ways to write odds, they all indicate how likely one outcome is in comparison to another. Ex: When I flip a coin, it is just as likely that I flip heads as tails. The odds are equal, or one to one. The odds are 80 to Otherwise put, it is four times more likely that it will rain than stay sunny. Because circumstances may change spontaneously, odds may change as well. They are not an exact science. Read sporting odds as the likelihood that one team, athlete, or horse, will win.
The most common use of odds is found when placing a bet on a sporting event. Betting agencies use historical data and team statistics to predict who is more likely to win. Whoever has the highest odds is considered the "favorite. Remember that lower odds return a higher profit. Betting on the underdog is riskier than betting on a favorite, but a higher risk means a higher potential reward. The "longer the odds," or the less likely, the more money you could win. Learn the vocabulary of odds when betting.
Many racetracks and betting establishments will have a booklet or pamphlet helping you learn terminology, but you should understand the lingo before you read odds. Some of the basic words include: Action : A bet or wager of any kind or amount. Bookie : Someone who accepts bets and sets odds.
Chalk : The favorite. Hedging : Placing bets on the team with the high odds, and the low odds, to minimize loss. Line : On any event, the current odds or point spreads on the game. Wager : The money you pay, or risk, on an outcome or event. Part 2 of Know that odds at the track tell you amount of profit you will make per dollar spent. To determine profit, multiply the amount you bet by the fraction. Understand that fractions greater than one mean a team is an underdog. This makes sense, because you would expect a bet on the underdog to have a higher payout.
If you have a hard time with fractions, then see if there is a larger number on top then on bottom. When you bet for the underdog, it is called betting "against the odds. Part 3 of Know that moneyline bets only concern what team will win the game. Odds are presented as a positive or negative number next to the team's name. A negative number means the team is favored to win, while a positive number indicates that they are the underdog.
This means the Cowboys are the favorites, but pay out less money if a bet on them wins. Try out an online to check your math when you first get started. Soon enough it will be second nature, but for now ask a friend or search for a calculator that fits your betting needs.
You also get the money you bet back. To calculate how much profit you make per dollar spent, divide the amount you are going to spend by Multiply this number by the moneyline to see your potential profit. When betting on the favorite, you take less risk, and thus earn less. Like positive odds, you earn back your bet when winning. To calculate profit, divide by the moneyline to find out the profit made per dollar spent.
Part 4 of Notice that point spreads adjust the score for the favorite team. This is easiest to see with an example: If the New York Knicks are playing the Boston Celtics, and Boston is favored to win by a 4-point spread, then a bet on Boston only pays out if Boston wins by more than 4 points. A bet on New York pays out if New York wins or if they lose by less than 4 points. If the favorite wins by the spread exactly, it is called a "push" and all bets are refunded. In the example, if Boston wins , then it is a push and no one collects a profit.
If you see "half-odds" a 4. Donald Trump: 4. The higher the total payout i. In both cases, you get your initial wager back, in addition to the amount won. The difference between the odds for the favorite and the underdog widens as the probability of winning for the favorite increases. In this matchup, there is a big difference between the two odds, indicating a much higher probability of Duke winning the game and advancing to the next round of the NCAA Tournament.
If you are planning to enter the betting or the gambling world, it is important to be able to understand and interpret all types of odds well. Trading Psychology. Business Essentials. Your Money. Personal Finance. Your Practice. Popular Courses. Key Takeaways The three main types of betting odds are fractional British odds, decimal European odds, and American moneyline odds.
These are simply different ways of presenting the same thing, and hold no difference in terms of payouts. Compare Accounts. The offers that appear in this table are from partnerships from which Investopedia receives compensation. Related Articles. A Look at Casino Profitability. Partner Links. Related Terms Currency Binary Option Definition A currency binary option is a way to make very short-term bets on exchange rates.
In sports betting, each team is assigned odds that represent the likelihood of them winning the game. When the odds for two teams are even, meaning 1 to 1, it means that each team is equally as likely to win the game. If Team A is assigned 2 to 1 odds, it means Team B is twice as likely to win. If Team A is assigned 10 to 1 odds, it means Team B is ten times as likely to win. Odds are typically expressed with a positive or negative sign in front of them and are not written as 2 to 1 or 3 to 1.
In a betting line between two teams, the team expected to win, or favorite, will have minus or negative odds. This means for every dollar wagered, you will earn less than a dollar if your bet wins. The team expected to lose, or underdog, will have positive or plus odds.
This means for every dollar you wager, you will gain more than a dollar if your bet wins. Louis Blues. Just like the metric system, dates, and miles per hour mph , Americans do things differently when it comes to betting odds. Take a look at this standard slate of betting odds from for an MLB game. Betting Odds are written in terms of as an industry standard. The easiest way to think of the plus and minus signs is as follows. Thankfully, you can view your potential winnings on each bet before placing it at an online sportsbook.
That said, it is beneficial to understand the betting odds. Green Bay Packers vs. A tie is a push, meaning you don't win or lose. Definition of bet: A total bet focuses on how many points are scored, regardless of who wins the game. After a total point score has been set, bettors can wager on whether the actual score of the game will be over or under the set point score. Fractional odds are used more commonly in parts of Europe, as well as in horseracing. To calculate fractional odds, you have to do some mental division or enter your desired amount and see what the sportsbook shows as your payout!
Here are some odds for a fictitious horse race and how you go about reading them. A lot of sportsbooks offer a fractional view if you prefer it to the American odds. Decimals odds are used more commonly in parts of Europe. When using decimal odds, the underdog has the higher of the two numbers, while the favorite has the lower of the two. To calculate decimal odds, you can use the following equation. In conclusion, American odds are almost always displayed at any United States sportsbook, while fractional and decimal odds are almost always displayed at any sportsbook outside of the United States.
Check out our Guides Page to see where sports betting stands in your state! The odds are essential when selecting a sportsbook because they affect your money. If you choose a sportsbook with poor odds, you will end up wasting money every time you place a bet. Read on for the complete explanation of each of these concepts. The point spread is the projected number of points that separate two teams. A game with a spread will have a favorite the team expected to win and an underdog the team expected to lose.
In the example above, the point spread is 7 points. Patriots are favored by 7 points against the Jets. If they lose by exactly 7 points, the bet is considered a push and is canceled. If you bet on the Patriots -7, they must win the game outright by more than 7 points. The 3-digit numbers to the far right are the listed prices for these bets. This is also called the odds, vig, or juice. We will cover those in more depth when we talk about money lines.
The price of the bet has no impact on which team is favored. Only the plus or minus on the point spread matters. This is handled differently when you bet strictly on the moneyline. A moneyline bet is on a team to win the game outright without a point spread at an adjusted cost. Just like with point spread betting, the favorite will have negative odds, while the underdog will have positive odds.
The difference here is in the price or payout depending on which team you take. A favorite e. Patriots on the money line works just like our bet price example above. This added risk is why betting the spread is usually more popular, especially on favorites. Underdogs e. This type of bet is on the sum of the points scored by both teams in a game. The bookie sets the number for the total, then you predict whether they will score more or less points than the set number.
If you project the Jets and Patriots to combine to score more than If you think they will score less than
The point spread makes things more interesting for bettors, as well as making a profit for the bookies. Essentially, the point spread is a handicap given by the bookmakers to bring teams to an equal footing, in that it generates interest in both teams from bettors. If you placed a bet on Team A, the team would have to win the game by eight or more points.
Betting on Team B would win you your bet if the team wins the game, OR if it loses by less than six points. Instead, the bet depends on whether the combined amount is over or under a predetermined number set by the bookmaker. All you have to do is decide whether the combined scores will total over that mark, or under it. Again, there are three main formats:. What does this mean? All you have to do is multiply your wager by the odds to find out your potential winnings.
Fractional odds are one of the oldest forms of odds in sports gambling and are more popular in the UK market. Basically fractional odds show you how much you are set to win relative to how much you put in. What is the implied probability of these odds? So the implied probability of the Lakers winning the game is 0.
In this instance, the bookmakers believe the Lakers are a Calculating the implied probability in negative American odds is fairly straightforward:. So in our example, the Bulls are at odds of to win the game. So the implied probability of the Bulls winning the game is 0. In this case, the bookmakers see the Bulls as a As stated earlier, the key to successful betting is to bet only when there is value.
In our example, we should only bet on either the Bulls or the Lakers if we determine that they are a better chance to win the game than what the odds represent. If we believe the Lakers are a better chance to win than If we believe the Bulls are a better chance to win than Understanding betting odds is crucial to long-term betting success. Possessing an intimate grasp of betting odds and their implied probabilities is fundamental to profitable betting.
Many states allow for online horse racing betting and you can see odds at most of the big horse racing tracks around the world. Betting odds represent the probability of an outcome occurring and the return profit you will receive if your bet is a winner. It could be the likelihood of all of your final four betting picks being correct. Understanding the implied probability is crucial. Because you should only bet when you believe the probability of an outcome occurring is higher than the implied probability.
But if you would like to learn more about betting odds and alternative odds formats, try this odds converter. The Giants are at odds of to cover the betting line of The probability implied in the odds is You have not found a value bet and should not place a bet on the Giants.
Betting odds represent the probability of an event to happen and therefore enable you to work out how much money you will win if your bet wins. William Hill. Betfred Sports. Fox Bet. Barstool Sportsbook. Hollywood Casino.