HEDGE BETS

[RichardGraceFan]

Stay away from the HEDGE BETS, INSURANCE BETS and LONG SHOTS. You are just improving
the house's advantage. The hedge and Insurance bets are helpful when they hit, but are a major
sacrifice to profits while they lose. Until you have large profits, we would not use them because these
extra bets might prevent you from getting to your WIN GOAL and erodes profits. I know it's nice to
have insurance but it erodes profits. 1 chip here, 1 chip there, it adds up at the end of the day and
rarely pays off.
On the larger the bets, we are more inclined to Hedge Bets. For example, if we are forced onto an
American Table for lack of a European one and we have doubled all our bets, we might consider
splitting the Zeros with just enough to breakeven or come close. So if either Zero appears we don't get
wiped out, especially if they haven't shown for 7 to 12 spins. Would we do it all the time? No, only
when we feel the Law of Averages or the table Trend says they may be due. At a payback of 17 to 1
you have to lose that bet hedge bet 19 times to lose since you get back 17 plus your bet. Hedge Bets
have their place if used at the proper time. With out experience they will erode profits. This
comes with knowledge and experience.
There may be an occasion when we may set an Insurance / Hedge Bet to lose intentionally, but what it
does is to limit or reduce our losses, rather than lose everything when that number / group comes out. However, only use an Insurance Bet when it is due to come out, or really
past due. See odds chart in Chapter on Trends to determine when things are due or past due.
Hedging bets in a casino generally comes at a price, Insurance or protection is an expense that rarely
yields a return, or has a higher cost then the return premium. Roulette offers exceptions to the rule. A
representative situation might be $10 split between the zeros. Sometimes it pays to intuitively hedge
your bets. Another word for "intuitively" is playing to the "odds". Playing to the odds vrs not can give
you in my opinion as much as a 2% advantage in the long run. We haven't figured this scientifically but
from experience and our gut this is the advantage. It's a gamble but what isn't? This does not mean
we advocate hedge betting all the time. We do not. Only when we feel strongly and we have a good
chance of winning coupled with we need to pick up some losses. Experience in gambling leads to
intuition about how funds may flow under normal conditions.

Richard.

[SPIN DOCTOR]

I think you are missing the point of hedge betting.
If your goal is to improve profit by eliminating hedge betting you are in danger of losing everything.

Keep in mind that the major bets may never hit. These means total wipe out.
Hedge betting allows a return to parity and a quick exit or parity and a return to our opening position.
This is its true value and its purpose.

You do make the point about intuition.
Hedge betting is a secondary tool anticipate what would likely happen if our main plan fails.

I advocate leaving the table after a fight of survival over a particular long number of spins.
The hedge may allow you to do this.
This I call the "Law of Evens" . When we get even after a battle we should leave the game and not start
again. To play on after a battle to recover one's position puts us in a disadvantageous mental state.
And statistical observation on this game does show that a bad game follows a bad game.

[SPIN DOCTOR]

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