What Does The Summit Trainer Do

Investment rules applied to the game - Part

The following is inspired by an article published in English on the site Money Central. He recounts twenty golden rules of investment. I am freely inspired to show how most of these rules must be known, understood and diligently applied by anyone who aspires to the label of a professional player.

The game world is, different angles, much more risky than investment world traditional, even if only because of the speed at which it is possible to lose huge sums. We must therefore develop a global vision of the game world which will in many ways similar to the investment world, but located on a different plane with respect to aspects of risk and potential returns. If

invest in a traditional way has already its share of risks, try to make gains in the game all the time should be seen as an enterprise architect ultra-risky.

1 - Buy low and sell high

The secular principle of the investment could be applied in the following game: Play parts whose starting price is low (small tournaments cheap; specific parts of your favorite games, but on tables with bets as low as possible; small friendly games, etc..) and try to maximize as much as possible your little investment.

Sell high is the fact to retire at the right time when we, in a game of roulette, for example, raised 100% of earnings after an hour of play according to the standards the most progressive investment make a certain percentage of profit in a short period of time is nothing less than a small miracle. Many players often tend to want to "win over" when the casino by attempting, with tactics more risky, too overdrive gains already excellent, thus exposing them lose again.

Many players do not know to appreciate the true value of a gain of $ 25, $ 100, even $ 1,000 awarded in a casino. They will often lose again. Sometimes they even lose more bankroll original game in a few spins , trying, put in some very risky "to rebuild." That you may already have happened if you have already played in a real casino. If such a situation presents itself - lose it again gains and return to its point of departure in terms of bankroll - there is only only sensible solution to borrow. PUTTING THE BRAKES! At worst, start playing with small stakes identical to those we put in the early game, or at best, stop the session and delivered the next part later.

So to summarize, play parties for amounts that seem small and reasonable, and you know when you've cashed out a satisfactory gain. Know also when you remove a draw where you do not record any profit. It's certainly better than to retire with a loss.

2 - Do not run after the performance at any price

Little Engine That Could. Prefer safer techniques in terms of probability and pay less rather than more risky techniques.

Buy On The Dips

This fellow council invites you to try, whenever possible, purchase your favorite stock following a fall in the price of these (red circles on the graph above). Buy the dips implies that you have the patience to wait for these falls take place before putting your money at stake

Let's see how this concept could be applied to roulette or blackjack .

Assuming you're a seasoned roulette player build magnet, using a variety of gains on non-occurrences, that is to say about aspects of roulette being the least left over previous spins. You approach a table and, true to your usual, take a moment to read the scoreboard numbers to get an idea of what happened during the previous couple of shots. Having toured all aspects, you see that the third dozen is not out only once during the last fifteen spins. It is, somehow, a dip in the occurrence of numbers belonging to the dozen.

Bringing your eyes on the carpet, you see a player sitting at the table placing chips on the dozen $ 500. In his depressed air, you know he lost a good sum of money and, instinctively, you suspect it will probably last 4 or 5 tokens for $ 500 which remain on the dozen cursed. You approached him, you ask how long the third dozen is not extended. He replies with an air of feverish 19 times!

You let him play a few more minutes, the time to see him lose his few remaining chips and you are now facing a rare situation. The third dozen is not extended only once during the last 24 spins . This is a major dip. It is time for you to "buy this action." Even in tens of thousands of practice swings you made free in the comfort of your home, you have never seen such a long non-occurrence over a dozen. You decide to play it using a simple progression 1-1-2-3-4-6-9-etc. and hope to win on the spin following, if not on the other ... Your chances that the third dozen do so not in the few following shots is almost zero. Not impossible, but almost zero. This type of non-occurrence happens, once every few tens of thousands of spins .

On a somewhat similar, though not a great card counter , you can witness at a blackjack table , the occurrence of a very large number of small maps (A- 2-3-4-5-6) in a series of 5 or 6 hands (equivalent to more than 100 cards if the table is full, or more than two packages of the hoof that contains six). The occurrence of small cards, according to the probabilities own this game, good for the dealer . It may be that you ALSO HAVE seen him win several hands in the past from the many small maps. This means So also there are more big cards that will occur over the next few hands. It is at this moment, the time to bet more than that would have been 5 or 6 hands earlier.


3 - Let your winners run

In other words, let your profits and do not accumulate, despite everything, "hurry" to leave a game table or a particular part that takes place very well for you.

Getting to do this is a challenge in itself and looks like a dangerous escalation on the edge of a razor. It all matters that concern me about roulette, one on which my answers are fewer seats.

Any investor worth the name should use systems stop-loss (systems that are designed to automatically sell shares whose price would fall below a predetermined minimum price). Obviously it is better to withdraw from an action before it undergoes a fall. Everyone can understand that. At least intellectually, failing to apply knowledge in real life.

Knowing how far to let up its profits is an art in itself. Imagine an investor who still sell their shares when they reach a level of profit of 10%. In addition to potentially be losses with some of his other securities, it could never take advantage of those who, if he does not sell anytime soon, it could yield profits of 30%, 50% or more.

4 - Cut your losses before they become excessive

You can, for example, in a game, be prepared to accept a loss of value of X before retiring and cover, using your own techniques, a potential gain of 2X. This way, you're quicker to say "GAME OVER!" before your losses become too large and "let a chance" when it is on your side.

Example: You go to the casino with a bankroll session $ 100. Whatever game you're playing, you make the decision to interrupt the game every time you record a loss of 10% ($ 10) or that you record a gain of 20% ($ 20). It seems small, it will seem even "têteux" to some. Yet this type of approach where you try, somehow accumulate small gains of 10% to 20% per game, that I promote. I would rather see these little additions like so many potentially walk me to a gain of 100% or more. But I do not cling desperately to the goal of doubling my money. Any gain as little as 10% in less than 24 hours, according all standards of the investment classic, already huge in itself. Know you remember when you face the casino games.

5 - Do not get too attached to a running game

This may seem contradictory to number 3 but, in fact, like many aspects related to games of chance, particularly those whose chances are almost 50% (baccarat, blackjack , French roulette, craps , etc..), thus resembling the good old coin, whatever pleasure or the desire to continue playing that you may feel you should always remember that there is only one ultimate goal whatever arena: the retreat with a gain in your pocket.


6 - In general, think long term

How to think long term in a game? you tell me. In spreads (extending) your bankroll total over a series of games. Doyle Brunson said that a professional poker player rarely committed more than 1% or 2% of its total bankroll on any given part. This means, in other words, a bankroll can theoretically afford to play 50 to 100 parts. Fifty to one hundred parts, it begins to fit into a long term plan. If you have a bankroll of $ 500 total, so you can play poker games in which you will not risk more than $ 5 to $ 10 per time. Same roulette. There are casinos in Las Vegas or token minimum is 25 cents . It exists on the Internet or the minimum bet is 10 cents .

Anyway, even if playing such small amounts of money seem to be too little to some, it is still the preferred approach. If you are unable to register substantial gains in terms of percentages when you run the risk of small amounts, do not expect to do with bigger.

That your life does not depend on the casino and for paraphrsaer the legendary Warren Buffett, "never play at the casino unless you can not consider never be able to play over the next ten years."