Controlling losses when ahead and behind

Cash / Marcus Bateman / 09 February 2010 / Leave a Comment

This is a phenomenon any good cash player knows all to well in poker. People become much more conservative when ahead in gambling activities, and much more reckless when behind.

In the popular English television show Bargain Hunt, contestants try and buy antiques at a market and then sell them at an auction to try and make money. They get to pick three items, with a final 'bonus buy' that an expert gives them. They can choose to take the bonus buy after there three items have been sold, or just ignore it and keep any profits. Obviously when they are losing, players always take the bonus buy, but interestingly, hardly ever take it when ahead.

This is a phenomenon any good cash player knows all to well in poker. People become much more conservative when ahead in gambling activities, and much more reckless when behind. Although in a vacuum you would expect most people to take the bonus buy (after all, it has been picked by an expert and should have a higher EV than any of your own items), in reality whether it gets taken basically purely depends on if the team wins or loses on their first three items, despite the fact that it is arguably their best chance at more profit if they are already winning.

This is an exact parallel with people turning down good games or becoming overly passive when ahead in cash games. Despite the fact that the situation is the most lucrative (you are ahead, dominating the table and in your best position to make even more money), people frequently turn down the game and either leave outright or become timid and tight with their stack. Just like the contestants on the show, they turn down their best opportunity to make more money, purely through the fear of losing money they already have.

This can be a major leak in poker, as coupled with playing too long when you are losing, it can really threaten your profitability in the long run. It is an odd feature of the human brain that we look at money very differently when we are making it compared to when we are losing it, but understanding and overcoming it will - by itself - give you a substantial edge over most weak cash players.

As the old poker saying goes: 'A dollar is a dollar is a dollar', and it is crucial to just look at the money impartially when considering your options.

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Official Bargain Hunt Website

Choose your own bonus buy at Betfair Poker