StrategyJanuary 25, 20266 min read

Polymarket Trading Strategies: How to Win at Prediction Markets

Learn winning strategies for Polymarket trading. Discover arbitrage, news trading, and value betting techniques for prediction markets.

Successful Polymarket trading requires more than luck. Here are proven strategies used by profitable traders.

Value Betting

Find mispriced markets:

  • Compare your probability estimate to market price
  • If you think true odds are 60% but market shows 50%, there's value
  • Requires accurate forecasting ability

Arbitrage

Profit from price differences:

  • Compare Polymarket to Kalshi, PredictIt
  • Buy low on one platform, sell high on another
  • Risk-free if executed correctly
  • Opportunities are small and brief

News Trading

React faster than the market:

  • Monitor news sources and social media
  • Trade before markets fully adjust
  • Requires speed and news access

Market Making

Provide liquidity for profit:

  • Place both buy and sell orders
  • Capture the bid-ask spread
  • Requires capital and risk management

Common Mistakes to Avoid

  • Overconfidence: Your estimate isn't always right
  • Ignoring fees: Small edges disappear with costs
  • Correlation risk: Diversify across uncorrelated markets
  • Chasing losses: Stick to your strategy

Track Opportunities with Alphascope

Alphascope helps find trading opportunities:

Alphascope uses AI to surface the signals that move prediction markets — so you can act before the crowd does. Try it out for free today.