For example, if the Kansas City Chiefs were given -5.5 against the Las Vegas Raiders, the spread would be 5.5. To win, the Chiefs would need to be victorious by 6 points or more. For example, the payouts are higher when betting on the underdog, plus betting on the favorite is a safer bet, although the odds will be lower.
Here we will cover what the point spread is, how it works, and other minutiae surrounding the most popular form of sports betting. Most sportsbooks now offer bettors more than one spread to choose from for a game. Just like any other form of betting, spread betting can be profitable. The main reason you would make a spread bet is that you believe there is good value on the betting line available on a specific side. There are also other strategies you can employ when betting spreads to increase your chance of long-term success.
Learn to trade with confidence
Oddsmakers will also often shift the line in reaction to respected or ‘sharp’ money. ‘Sharp’ money refers to bets coming in from long-term winning bettors that the books respect enough to listen to. There’s a lot of line movement, particularly in weekly sports like the NFL or college football, since there’s a long period of time between when the lines open and when the game actually starts.
- While the strategies and player selections recommended in his articles are his personal views, he may deploy different strategies and player selections when entering contests with his personal account.
- Spread betting is exempt from stamp duty, therefore a short or medium term spread bet could well be more affordable than purchasing the securities themselves.
- When beginning with point spread betting, start by grasping the basic concepts and build from there.
- These players hold a crucial role with their team, and without them, those teams’ chances of winning or covering a spread are reduced.One thing that can get overlooked is when the game is a rivalry game.
- The views expressed in their articles are the author’s alone and do not necessarily reflect the views of FanDuel.
- Conversely, if you think the winner will only win by less than three lengths, then you would “sell” the spread.
Many football bettors are eager to bet the spread earlier in the week when uncertainty around a matchup can result in inaccurate betting lines. While novice bettors might think that betting on the underdog is smarter, that isn’t true at all. These teams are the underdog for a good reason, and the spreads are usually quite accurate. When you consider a market, you should assume the bet is set up for you to lose.
Pros and Cons of Spread Betting
In baseball, some bettors prefer to bet a favorite -1.5 on the run line, or an underdog on the money line instead of taking the +1.5 runs. Bettors who choose the underdog win their wager when that team either wins the event outright OR loses by an amount less than the point spread. In this case, the Rams have “covered the spread.” If the Rams win the game outright, they have likewise covered the spread.
What does a minus 5 spread mean?
In the simplest terms, a negative spread indicates the favorite, which is the side that's expected to win the matchup. A negative point spread really means that team has some work to do. For a negative spread bet to hit, the team has to beat its opponent by a margin greater than the point spread.
From the initial release up to the start of the game, bets will continue to come in. Sportsbooks might adjust the numbers in response What is Spread Betting to betting action. The spread itself could shift by a half-point or much more, while the odds can also fluctuate up or down.
A Stock Market Trade Versus a Spread Bet
Investors bet whether a security price will be lower than the bid or higher than the ask. The Super Bowl spread odds for this past year’s Big Game was Chiefs +1.5 and Eagles -1.5. The Eagles were favored by 1.5 points, which means if you bet them and they won by 2 points or more, you would have won your bet.
Therefore, it’s essential to understand how point spreads work before placing a wager. Think of the sports betting space like the stock market or any market, where it’s about identifying spots where one side is being undervalued. There might be an NFL team that is 5-11, but goes 11-5 at covering the spread. That’s known as an ‘ATS’ or ‘against the spread’ record, which is a term commonly used in betting. You’ll see a team’s ‘home ATS record,’ which means how often they cover the spread at home. In addition to finding value in numbers, when a point spread is inflated or too low it’s also important to handicap the matchup.
Most companies which offer spread betting use their prices to persuade new clients to register for their services, using the most popular markets when advertising their services and on their sites. However, in cases where spreads are smaller, it is possible the overnight charge or margin requirement could be higher. They may also be a minimum limit placed on the capital spend allowed per trade. Perhaps the greatest benefit of spread betting is that all profits are free from tax in the UK, with spread bettors being exempt from stamp duty and capital gains tax.
The first would be if the Kings win the game straight up without the points. However, beating Golden State at the Chase Center is no easy task. With the Kings getting 7.5 points, they can still lose the game by seven points or less and the bet will be a winner.
Criminal Charges Around Wagering Filed Against Iowa State Starting QB
This presumes that winning teams never unnecessarily extend a winning margin—and losing teams never uselessly narrow an inevitable loss. In other words, each team is only playing to win rather than to beat the point spread. The wager becomes «Will the favorite win by more than the point spread?» The point spread can be moved to any level to create an equal number of participants on each side of the wager. This allows a bookmaker to act as a market maker by accepting wagers on both sides of the spread. The bookmaker charges a commission, or vigorish, and acts as the counterparty for each participant. As long as the total amount wagered on each side is roughly equal, the bookmaker is unconcerned with the actual outcome; profits instead come from the commissions.
Spreads don’t always come with a hook and you will often see lines without the half-point (e.g. 3.0, 4.0, 7.0) in NFL games, specifically. If a game with a -3.0/+3.0 spread ends with a three-point differential (e.g. 30-27) any spread bets posted on a -3.0/+3.0 line would be graded as void or a push. The hook refers to the half-point (0.5 points) that is added to the end of handicaps in spread bets. Since no games can end in 0.5 totals, the hook ensures that there are no ties or pushes that will cause a bet to go ungraded or void. The underdog in an against-the-spread bet is always being given an advantage by the spread (being given extra points to lose by) since they are considered less likely to win the game, straight up. The favorite in an against-the-spread bet is always being placed at a disadvantage by the spread (given extra points to cover) since they are considered more likely to win the game straight up.
Let’s look more closely at these many advantages to find out why so many people are attracted to spread betting. Parlaying multiple individual point spread lines into one bet is a way to increase your reward and your risk. When you place such a wager, each point spread line is known as a “leg.” Assume you want to bet the spread of a Memphis Grizzlies game and three other NBA games. Those bets can be easier to win, in theory, but most often result in a win for the sportsbook. Betting the over or under is an extremely popular bet to place because it’s betting the amount of goals scored. This means you’re not betting for one team to win – you’re cheering for goals.