Trading Software: How to use the ladder interface
In his latest article, Alan Thompson explains the benefits of using a ladder interface when trading on Betfair.
"Being able to place orders into Betfair so quickly and accurately allows traders to place a large number of trades in a very short space of time. Rather than win only if that selection is successful, traders normally use the green out column to hedge their position across all possible outcome."
As well as the standard or grid interface, a ladder interface is available on most Betfair trading applications. It is simply another view of the data available, but it allows you to place/manage bets and react very quickly. It is the preferred option for scalpers and traders operating in volatile markets.
The ladder view will be familiar to anyone who has ever traded on the Stock Exchange. Trading on Betfair is exactly the same but, instead of buying and selling shares, Betfair traders are laying and backing selections in a sporting event.
The first thing that you notice on a ladder view is that the full market depth is shown, along with all the values associated with that price (volume already traded, amounts available, etc). This enables you to see where the market has been and help you evaluate where it might be heading in the short-term.
Once you have set up your default stake, the ladder view allows you to place orders immediately. This is done by simply clicking on the blue or pink cell (depending on if you want to back or lay) next to the price you wish to enter the market at. Cancelling bets is just as easy, clicking on the stake removes it from Betfair.
Being able to place orders into Betfair so quickly and accurately allows traders to place a large number of trades in a very short space of time. Rather than win only if that selection is successful, traders normally use the green out column to hedge their position across all possible outcomes. Each tick (price increment) on the ladder displays to the trader what their financial position would be if they closed at this point.
Depending on the trading application you are using there is other important information that can be displayed in the ladder view and updated in real time. Some applications show a graphical representation of where the selection has been matched, some show you where you are in the queue. When choosing an application make sure you chose the product that displays all the information you need and suits your style of trading.
Ladder trading is all about speed of execution BUT I would always advise a new user to use small stakes, until they fully understand the application - clicking in the wrong place can be costly!
Here is a video I've made on using the ladder interface (the software used in the demonstration is Advanced Cymatic Trader)
For a selection of Betting Apps for Betfair.com please see the Betfair App Directory