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How To Trade on Diamond Exchange Id?

While many punters use a betting exchange such as Diamond Exchange Id only for pre-match betting, the opportunity to 'trade' markets are the most appealing feature for many customers, particularly serious gamblers. As betting exchanges rose in popularity throughout the 2000s, so emerged a new species of bettor, the exchange trader.

Trading on Betting Exchanges: Similarities to Stock Market Trading

The number of serious traders working markets on exchanges has increased substantially in the last decade, with many leaving the world of pre-match betting to focus solely on trading.

Consider a betting exchange to be analogous to the stock market. In this way, betting exchange traders are similar to stock exchange traders who purchase and sell shares. In the case of a betting market, traders purchase and sell positions on a specific outcome, and the same concepts apply: buy cheap and sell high.

Simply explained, trading is the act of backing (betting on) a result at a higher price and then laying (betting against) the same outcome at a lower price. This is referred to as 'green booking' in the industry.

As an example:

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Premier League Betting Exchange Odds on Man City Winning the League

Let's have a look at an example. The odds to win the Premier League are shown above. So, how can we enter this market? As previously said, we are attempting to purchase low and sell high on a position.

How Will We Accomplish This?

Let's say we've looked at the forthcoming schedule and predict Man City will go on a winning streak. With such a winning streak, their chances of winning the Premier League will almost certainly decrease. So, we'll support them immediately at the current odds of 2.20 for €100.

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Premier League Odds for Manchester City

So, we bet €100 on Man City to win the Premier League at odds of 2.20. If Manchester City wins the Premier League, we will profit €120.

But in this case, we are trading rather than betting. In truth, we don't care if Man City wins the Premier League or not. What we're hoping for is that at some point over the rest of the season, Man City's odds to win the league will fall below the 2.20 that we gave them. When this occurs, we can lay (bet against) Man City to win the league, ensuring that we will make a profit regardless of whether Man City wins the league or not.

Let's imagine, for argument's sake, Man City goes on the winning streak we hoped for and their odds to win the league are now 1.50 in 8 weeks. It is time to exit our position. We bought high (backing Man City at 2.20 odds) and will now sell low (laying Man City at 1.50 odds). We do this by laying Man City to win the Premier League at 1.50 odds. We can either cover the liability of our original bet, €100, and effectively make our bet on Man City to win the league a free bet. We make a profit if they win the league; if they don't, we break even.

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