Tuesday, September 9, 2008

Early Lines are in.... and their Mad

The early lines came in today and after taking a quick look there are some crazy ones.... here's what i've seen so far:




221
-
-


222

NO is only giving 1 point against WAS, the Pats are dogs, HOU favored over BAL, and PHI getting 7 points vs DAL...

What does the box think?

Week 1 Post-Capped

So I skipped week 1, the most useless week for Matty's so called "historical data". Not the most exciting victory this week, Mattyboy, Mr. 1.49% return. Although in fairness that would be an impressive 25% return over the season.

ok, it's early and i'm rambling. Here are my takes on the week 1 action:

NYG (-4.5) def was - This is basically how I would have capped this game. Despite the yearly predictions for the return of the Skins, they keep changing coaches and bringing in over-rated or over-the-hill free agents. The Giants are the defending SB Champs, much like the Patriots of '02... they're a team who got hot at the right time and played the game of their lives against a superior opponent who was not up to the fight. Point is... they are very beatable. This game went ot the Giants by 9, but Looking forward I expect both teams to struggle against decent teams.

det (-3) @ ATL - This is probably a game I would have stayed away from. With such a low spread, and two teams expected to be lousy, it's just risky business. I believe in laymen's terms, this is what Matty would call 'Low Game Value'.

cin (-1.5) @ BAL - I might have flubbed this one, thinking that Baltimore's rookie head coach and rookie QB would struggle too much, even against the weak Bengals. Looking forwad, I will still bet against both teams regularly. Look for Baltimore to be over-rated next week.

sea (-1) @ BUF - I really like Buffalo, and regularly underrate Seattle, so I probably would have overthought and bet wrong here. I think this game showed us two things: (1) SEA is in trouble, they now have lost 3 WRs to injury, and (2) BUF is for real. Look to bet against the 'Hawks next week, but beware Buffalo fever driving up the spread too high also.

nyj (-3) @ MIA - Ooh I would have creamed this bet. I can't believe the Jets were only giving 3 points. The dolphins are better with Pennington than... well whoever they have on the bench, but let's not forget this is year 1 of rebuilding and they have gutted their organization. Anytime you see a small spread against the 'fins, you gotta bet against them. Watch out for the Jets. They have some offensive firepower. Coles and Cotchery and Jones have been for real for years, now with the bombs-away Favre behind center, they could really screw up some spreads.

kc (+16.5) @ NE - Nobody thought Cassel would be the QB for this game, so basically every bettor's logic flew out the window in the 8th minute. Here's my take on the Pats: remember 2001. Bledsoe goes down and a young, unproven Brady was given gameplans emphasizing ball control, field position, and time of possession. This is exactly what I saw the Patriots run with Cassel this week, and it's a style of play the Pats have not run in years. Opponents won't have film to work off of and I expect NE to win a lot of games by close margins. Bet them any week they are 'dogs. KC... well they are gonna play spoiler this year. Bet against them and we'll cry together when they pull a couple off.

tb (+3) @ NO - Oh matty you must have cried your eyes out when Reggie took that short pass to the house, going up by 4 and barely covering the spread in the final minutes. This matchup is always a nightmare. NO should win, but TB always plays tough. TB is about what they were last year, a 9-7 team. Hard to bet a team like that. NO has the potential to win 13+, but is a media darling, which may lead to their spreads being too high.

stl (+7.5) @ PHI - What a shelacking. And a predictable one. PHI is for real, STL is terrible. Wish I would have bet this one.

hou (+6.5) @ PIT - Ditto.

JAX (-3) @ TN - This one would have cost me. I have zero respect for Vince Young, and love JAX. I'm shocked the spread was only 3, and still can't believe TN upset them. I heard one announcer say "well, JAX just doesn't match up well with TN". This is basically my opinion.

CLE (+6) @ DAL - The Browns are this year's Saints. BEWARE! They had an unexpected run at the playoffs last year, and are suddenly the center of tons of media attention. Don't forget that despite the aerial show Anderson to Edwards was last year, their defense stunk. This year every team has a year of film to use in gameplanning against the previously unknown Anderson. Edwards missed most of camp, and they traded their draft picks for a couple guys who probably would have been cut anyways. In other news, Dallas is pretty frickin good. Watch how high the spreads get.

CAR (+9) @ SD - Carolina was given quite a few points here, and they didn't even need them on the road. This is a team who was destroyed by injuries last year. They could be a solid pick week in and week out until the media gets a hold of them. SD is a dangerous team to bet with, because they are regularly giving so many points, and tend to lose close games to good competition. My positin is bet against them. They won't cover high spreads, and will lose games with low spreads.

ARI (-2.5) @ SF - Let's be clear. They 49ers are just as bad this year as they have been since Garcia left town. Giving up only a couple points would have been a clear good-bet for me here. ARI will disappoint regularly this season, but you should have bet with them on this one.

CHI (+9.5) @ IND - Upset of the week! Man this is crazy. Indy went down at home? To Kyle Orton? This game is a fluke. Vegas might give excellent odds on Indy and against Chicago in week 2, so keep an eye out.

MIN (+2.5) @ GB - This one might have screwed me, and I blame ESPN. I have heard nothing but praise for MIN. This is the year bla bla bla. Something that seems to slip through the cracks with all the Favre focus is this.... GB was awesome last year (13-3). They dont' buy high-priced free agents, which means their entire team is built through the draft, which means their entire team is young and not overpriced. Favre was not the reason they went to the playoffs last year. GB is an excellent organization, and I look forward to them being underrated at the beginning of this year. MIN is still a mystery to me. T Jackson is unproven still, and who exactly is their big WR threat supposed to be? Berrian? whee.

Den (-3) @ OAK - Only 3 points against the Raiders? Damn I should have bet this game. Cutler has established himself as the leader in Denver (Go Vandy, by the way), and did it while unknowingly having DIABETES.... Think about that for a second. OK since you don't know what diabetes actually does, I'll tell you: your body can't get the sugar out of your bloodstream and use it for energy. So basically Cutler threw for 3,000 yds without the benefit of actually using the food he ate for energy (in case you are curious, he lost 25 lbs last year due to this). Also, since the sugar stays in the blood stream, it builds up to toxic levels. So yes, he did this while basically being poisoned. OAK just ruined their salary cap for years with their crappy FA signings, this was a gimme.

With that 20/20 hindsight, look for my picks in week 2, when i put my money where my keyboard is.

Saturday, September 6, 2008

Week 01 - Picks of the Week

Spread Picks:

Rank Pick Vs Spd Bet % Bet Amt
1 SEA @ BUF +1 27% $7.50
2 TB @ NO +3 25% $7.50
3 BAL v. CIN +1.5 25% $7.50
4 ARI @ SF -2.5 23% $7.50
5 DEN @ OAK -3

6 HOU @ PIT +6.5

7 PHI v. STL -7.5

8 CAR @ SD +9

9 JAC @ TEN -3

10 CHI @ IND +9.5

11 DET @ ATL -3

12 WAS @ NYG +4.5

13 KC @ NE +16.5

14 MIN @ GB +2.5

15 NYJ @ MIA -3

16 CLE v. DAL +6


Totals: Bets: $30.00





Moneyline Picks:

Rank Pick Vs Spd Bet % Bet Amt
1 PHI v. STL -340 29% $6.67
2 TB @ NO +145 26% $6.11
3 ARI @ SF -145 24% $5.55
4 DEN @ OAK -150 21% $5.00
5 JAC @ TEN -150

6 DET @ ATL -165

7 NYJ @ MIA -160

8 GB v. MIN -140

9 DAL @ CLE -250

10 NYG v. WAS -220

11 PIT v. HOU -280

12 SD v. CAR -450

13 IND v. CHI -500

14




15




16





Totals: Bets: $23.33




These lines are as of 9/4, when I placed the bets.

Gamblebox loves a nice even spread this week, no huge favorites. I do like that it seemed to pick a lot of "cusp" type games, games that have the potential to go either way. I also agree with Bill Simmons and Sal when they said the TB / NO game is a potential trap game. Public perception on NO is favorable, but TB is a strong team with an excellent ground game against a young, mediocre NO defense. It could be a great pick.

I'm less thrilled with SEA v BUF, though in truth, BUF is a cindarella playoff pick for a lot of pundits and the spread may be benefiting. SEA has a good defense and will force Trent Edwards to air it out, I think, something he's not as adept to do (versus J.P. Losman, that is). Lee Evans ends up suffering for it, since BUF has embraced a west coast style and limited Evans' ability to stretch the field. The wild card could be speacial teams, which favors BUF heavily. BUF has two of the top returners in the NFL in McGee and Parrish, plus an excellent coverage squad and kicker. Tight spread makes me nervous, but it's early in the season, so it could still go either way.

BAL makes me nervous, too, with Joe Flacco, but I'm guessing the defense will carry here (cross my fingers). I love the DEN moneyline pick, great odds and I think Cutler will have something to prove with Brandon Marshall suspended. Jamarcus Russell really isn't that smart, in the end, and despite a weak LB core at Denver, I think OAK will be hard pressed to score.

Otherwise, thank God it's football season again!

PS - Capper, oh Capper, Where art thou oh Capper?

Wednesday, September 3, 2008

Week 01 - Gambling Power Ranks

Here they are, new and improved - the gambler power ranks. They combine three elements:

1.) Expected performance against an average team (based on the excellent work of Football Outsiders) - measure of the number of expected points per game to expect against an average opponent.

2.) Performance volatility - measures actual performance versus expected performance volatility, kicks in starting Week 2.

3.) Game value - measure of how "important" a game is for a particular team in terms of playoff implications.

By fusing these elements, we have a chart that basically highlights the best scoring predictable teams, with bonus going to teams playing in playoff implication games. Obviously in Week 1, playoff implications are a few weeks off, but much closer than you'd think. For instance, the difference between being 3-2 and 2-3 in terms of playoff implications amount to a stagger 100% (from a 33% chance of making playoffs at 2-3 historically to a 66% chance of making the playoffs at 3-2 historically - numbers from Football Outsiders).

So here are the rankings. My bets are in, as well, and I'll list them soon:

Power Ranks ▲▼
1 NE
2 PHI
3 GB
4 SD
5 MIN
6 IND
7 SEA
8 TB
9 JAC
10 DAL
11 PIT
12 NYG
13 BAL
14 CAR
15 HOU
16 DEN
17 NO
18 ARI
19 CHI
20 CIN
21 TEN
22 NYJ
23 WAS
24 CLE
25 BUF
26 KC
27 MIA
28 DET
29 OAK
30 STL
31 SF
32 ATL
* Excludes BYE week teams!

Thursday, August 7, 2008

Week 17 Revisited

Here's a taste of what the future holds:

A comparison between Week 17 old power ranks and new:

Power Ranks ▲▼
1 NE
2 IND
3 DAL
4 JAC ▲1
5 SD ▲2
6 TB
7 PIT ▲1
8 GB ▼4
9 SEA
10 PHI ▲1
11 MIN ▼1
12 CLE
13 TEN
14 WAS
15 CIN
16 NYG ▲2
17 NO
18 DEN ▼2
19 BUF
20 CHI ▲1
21 HOU ▼1
22 BAL
23 ARI
24 DET
25 KC
26 NYJ
27 CAR ▲1
28 ATL ▲1
29 MIA ▲1
30 OAK ▼3
31 STL
32 SF
* Excludes BYE week teams!

Plus, the new Game Value and Volatility ranks:

Rank GV Vol
1 CLE GB
2 MIN CIN
3 PHI PHI
4 TB WAS
5 TEN SEA
6 WAS JAC
7 NYG TEN
8 PIT NE
9 SD MIA
10 SEA ARI
11 ARI OAK
12 BUF MIN
13 DET IND
14 NO BAL
15 JAC DAL
16 ATL KC
17 BAL DET
18 CAR PIT
19 CHI STL
20 CIN DEN
21 DAL CAR
22 DEN HOU
23 GB CHI
24 HOU ATL
25 IND TB
26 KC SF
27 MIA SD
28 NE NYG
29 NYJ BUF
30 OAK NO
31 SF CLE
32 STL NYJ
* Excludes BYE week teams!

Note how Cleveland is playing in the most important game of the week (in terms of playoff implications, etc. historically), and they are the second most volatile team in the league (ranked 31st). A solid bet? I think not. More tweaks to come.

Thursday, July 31, 2008

It's That Time of Year...

I feel like the guy in that Office Max commercial, dancing through the aisles as happily buying "going back to school" gear.

Football season fast approaches, and the box and I have spent some very quality time together. Hot hot quality time. I thought I'd get a jump start, though I won't be ready for much commentary until closer to prime time in late August. Here are some changes to expect:

1.) No more "pure" financial measures.

The BOX is now BOX 3.0, a total upgraded version. I am currently starting a green hedge fund (see here for the gist, and here for more details) with a model I've worked on for 2 years, and I have a bunch of new tricks up my sleeves. I may revisit the Financials (alpha, beta, sharpe ratio) later this summer, but for now, they are a thing of the past. They have been replaced by new metrics, most importantly: Game Value, Performance Volatility, and Expected Performance. I'm combining a lot of the hedge fund volatility metrics and applying them here to performance (ie, point performance, performance vs. the spread, statistical field performance, performance against an average, etc.). Let's just say the database got much thicker.

Game Value - the statistically based game value based team performance and record.

Performance Volatility - the volatility of a teams week to week performance statistically on multiple levels.

Expected Performance - a sort of futures derivative for football performance, looks at a combination of Vegas and statistical expected performance.

I'll go over it all in more detail as the season gets closer, suffice to say, I'm pretty stoked.

2.) I cracked the Holy Grail: 60% historical win rate.

It's legitimate. Whether it will hold up is another question, but back to back years of 60% performance using the new metrics. You might be asking, "How did you accomplish such a feat Mr. Genius?" It's a good question, but a key component was something obvious that I overlooked last season. I spent a good deal of time reviewing how many games to bet to maximize my win percentage, but I ignored the simple fact: all weeks are not created equal. GVal (Game Value) assigns realistic, statistically based value to upcoming games, similarly to Mark Myers' TIMP system but using a totally different data set. In fact, I based values on over 15 years of data (it's been a busy summer) to come up with real game values that are organic. I initially resisted what GVal seemed to suggest; don't bet on games that don't have value, even if it means betting on NO GAMES in a particular week! While this isn't much fun, espeically if it's more than one week of no betting in spread games in a row, it's definitely profitable. Limiting myself to the highest probability games as values shift means some weeks I could make 16 bets, others 2 bets, but only bets that have real value.

I haven't expanded the notion to moneyline, teasers, and parlays yet, but I still have many modifications to go before the season starts.

3.) No more wondering how much to bet.

While I still haven't devised a way to have the BOX suggest a minimum bet, I have figured out how to enter a minimum (ie, $5 at my online "broker"), and the BOX does the rest. I plan on adding the "Doubler" again in a few test cases, but the allocations now act more like stock portfolios than football betting. Box 2.0 devised allocations as well, but needed multiple variables each week, like how much to bet and how much the minimum is every week. Now, the BOX says "Bet this much assuming a minimum of X".

4.) The spread/juice stock ticker.

One of the last things Vegas wants, in sharp contrast to equity markets, is real time data. Betting arbitrage would be a disaster. Imagine a system where Vegas sets the line of NE v. KC at NE -10, -125. Money comes pouring in for NE - bettors think the spread is too low, for whatever reason. Suddenly, in order to compensate for this, Vegas needs to a.) raise the spread, b.) raise the vig, or c.) both so they don't end up on the tremendous losing end of this game. So within a day, the new line is NE -15.5, -115. Imagine if, along the way, you had a ticker giving you the line. As you saw the line pump up, you realized - hey, I should get in on the ground floor here - and you place a bet at NE -12, -120. When the line jumps above 14, you think maybe KC has a chance here, and because it's happening in real time, you can lock in a bet at KC +14.5, +110, hedging yourself on the upside. But real time markets mean real time money and real time hedging, all of which are bad for Vegas.

So in lieu of Vegas, the BOX now takes multiple ticks in the "market". I haven't tested this yet, as I lack the back data (it's impossible to get in usable form), it's a step forward in actual betting arbitrage. So watch for this later this season, it could prove awesome.

So that's the scoop. I don't imagine I'll be posting much again until preseason in mid/late August, but it's fast approaching! Get psyched!