Hi,
Quick question on BSP - what is liquidity like when taking/getting a Betfair starting price (BSP). Say run of the mill race during the week if I was to bet 1k at BSP would it skew the price much if at all?
BSP
Depends on the price but yes, however if you want that much on in the last few seconds SP is certainly the best option, here is a graph from this month UK WIN racing (backing).
Code: Select all
middle = (back+lay) / 2
p_diff = (1/middle) - (1/actual_sp)
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The £500 bet moves the price -0.02, lets say the middle price was 2.00 before the SP auction the SP resulted in being 1.92. If you look at how the SP is calculated there is a lot inplay here based on what has already been placed at SP and what is available.
There is a balance to be had and it will be very market / liquidity dependant on what will give you the best price, but you will move it with a bet that large so taking what is available might be better, A/B testing is the answer.
There is a balance to be had and it will be very market / liquidity dependant on what will give you the best price, but you will move it with a bet that large so taking what is available might be better, A/B testing is the answer.