Edge
An edge is an advantage that gives a trader reason to believe a market is priced differently from its true probability or expected value.
Why it matters to you
Having an opinion is not the same as having an edge. An edge needs some reason to exist. That could come from: better research, better data, faster interpretation, superior probability estimates, or recognising information the market has not fully incorporated. If you cannot explain why your estimate should be better than the market's, the apparent opportunity may simply reflect your own overconfidence.
Terms that sit next to this one
See the prediction markets front
Live odds, what settles this week and five tools.