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Old 11-30-2003, 08:29 PM
psychprof psychprof is offline
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Join Date: Sep 2003
Posts: 48
Default Re: Question About Standard Deviation

Once you figure your SD, is there a way to tell if it is "good" or "bad" (this assumes that there is such a thing as a good and/or bad SD).

I'm probably wrong, but my impression is that any given SD is neither good nor bad. For example, consider the following players:

Player A (6 sessions)
+1
+100
+50
+5
+150
+10

Player B
-1
-100
-50
-5
-150
-10

Won't both players have the same, high, SD?

Let's say a person's stats for 1/2 stakes were a win rate of 4.5 bb/hr and an SD of $30. I understand how to use this to determine RoR, but how does one use this information to determine:

"that he can win more by playing for higher stakes and playing very tight, so that he can afford the stakes at a sub-optimal win-rate. Or that he should play more than one table at lower stakes to reduce his variance. Or more than one table at the same stakes. Perhaps he will decide to play a different form of poker, play at a different site, or that he would do better playing tournaments. Or maybe he will determine that he is pushing too many marginal hands, causing his standard deviation to be too high."

To be very specific, I'm not sure how to use SD to evaluate how I play and to determine what changes I should make in my play.

Thanks for any advice!
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