Pre match trading is when we look to enter and exit a trade before the start of a football match.
This is also a popular strategy when trading horses and is known as pre race trading in the horse racing markets.
In truth you can trade any sport pre event if there is enough liquidity to get your money in and out of the market without much hassle. If there is very little money in a market then it becomes difficult to get your money in and out of the market at the prices you want.
Lets take a look at the above example when Manchester United played Reading in the FA cup.
This was a trade sent out to member of our mailing list with the reason being that Man United have a very strong squad and even a second string side was likely to have great quality players involved.
Looking at historical odds the price of 1.26 is a similar price to when Man United had faced lower tier Premier League sides such as Burnley and Hull.
Reading are a Championship side at the time of writing and given the above factors among others it was predicted that it was more likely for Manchester United to shorten in odds then drift.
Stakes of £2000 were used for this trade. It is important to note that this was not the total amount of money at risk as we are trading out before kickoff.
Why do odds move prematch?
Odds move before a game starts for a variety of reasons. New information may enter the market such as player injuries, the manager may get sacked, the coach may comment that he is resting players etc
Money also moves the markets. When a large betting syndicate sees value in certain odds they will bet large amounts of money which will shorten the odds on the selection they see as value.
The last performance of a side can also effect the odds for a future game. If for example Liverpool play on a Wednesday night in the Champions League away at Fenerbache and the game goes into extra time, you would see an effect on the odds for their game against Everton on the Sunday.
This is because the market would perceive that Liverpool players would be extra tired and less likely of winning the game on Sunday so their odds would most likely drift.
In order to pre match trade you will need a betting exchange account such asBetfair or Matchbook.
Ryan Bruno is a former mixed martial arts and kickboxing competitor. He loves sports and making money online. After finishing university he played online poker and taught English for a living in Thailand for a few years. Upon returning to England his focus has been on making a living from sports trading, betting and arbitrage.