To play at the best betting sites, you must learn about the implied probability formula. This betting term is more essential than you think. Sportsbooks set their odds according to these calculations. And if you understand the implied probability formula correctly, you can quickly get value bets. In this post, you will learn details regarding implied probability. After reading this article, you will tackle betting sites that give the best odds.
What is Implied Probability?
Probability means the likelihood of an outcome to occur and is expressed as a percentage. For instance, if you have two coins and flip them on the air, the probability of getting ahead or tail is 50%, and therefore, the two outcomes are the same.
On the other hand, the implied probability formula is the percentage that comes after you have added the bookmakers’ margin over the real probability value. In simple terms;
The betting sites determine the actual probability percentages of results before providing a bet for that match. For instance, if there is a game between Team A and B, the betting site is preparing to give a wager on who will win the match. The sportsbooks will research the two teams and determine how likely they will win the game. This process is called capping, and the actual probability percentages will come at the end.
The Implied Probability Formula List for Separate Conversions
To understand how to calculate implied probability, you need to learn the different types of odds. There are three types of betting odds: fractional, decimal, and American. These bets show much you can win when you bet on a certain amount of money, but they will represent this differently, and therefore, the calculations are also different.
How to Convert Decimal Odds to Implied Probability
Decimal odds are the most applied types of odds. They are used in almost every bet and show the amount you can win on one unit. For instance, 2.00 odds means that suppose you wager 10 EUR and win, the payout will be 20 EUR.
Converting Fractional Odds to Implied Probability
These odds are also called British or traditional odds. They are conveyed as a fraction that is 4/1. The correct numbers show the wager, and the left digit indicates the payout. Therefore in this example, if you wager 10 EUR, the payout becomes 40 EUR.
Converting American Odds to Implied Probability
These odds refers to as betting on the money line. The American odds usually favor US betting sites. American odds come in two kinds which are the positive and negative odds. The unfavorable odds show the amount you need to wager to win 100 USD. On the other hand, the plus sign indicates that you can win when you wager 100 USD.
Converting Implied Probability to Odds
It is possible to convert implied probability into odds. The procedure can be done manually or by using an implied probability calculator. If you are new to sports or football betting, implied probability can be challenging. It can as well mislead you. Therefore make sure to use the calculator.
The implied probability formula is a bit challenging if you are a beginner. But with the comprehensive guide above, you can calculate the implied probability of different odds. The implied possibility is critical because it helps you find value in your bets. The value bet offers extensive payouts and higher winning opportunities. Make sure you learn more regarding implied probability so that you can make higher payouts. Now that you understand implied probability, you can go ahead and place your bets.