Positive/negative variance
Havana
Senior Member
Goats, would you kindly repost your comments regarding "positive/negative variance".
Thank You
Thank You
Comments
In short, variance just refers to the streaks (both positive and negative) in a set of results on the way to reaching the long-term expected win %.
I'm guessing the posts you mentioned were in response to a comment about being "hot" or "cold" or something else dealing with streaks. The average gambler looks at winning and losing streaks and thinks there is some reason behind them and/or that they can jump on/off based on these short term streaks... but the reality is that streaks are almost always just random short term results and neither their beginning nor end can be predicted ahead of time... i.e. it's just variance.
Hope that helps.