This system is a negative progression system. Commonly called the Cancellationsystem, there are several variations for the Labouchere money management system. Basically, you write down a string numbers like 1 2 3 4 5 and 6. You can have any length of numbers – it don’t need to be in order. You adjust your selection of a typical series, depending on the type of game you are playing and the odds of the wager.
Each number symbolizes the amount in units that you are wagering. You bet the 1st and last number. Thinking of the the example above, this would be the 1 and the 6, which totals 7 units.
Should you win, remove the two numbers, then bet the next two outside numbers. Again, using the same example, the next numbers would be the 2 and the 5. If you win again, you wager on the next two numbers – the 3 and the 4. If you win that too, you have concluded one game.
Now, if you should lose, you would add that one number to the end of the string of numbers. Say you lost the first wager of 7 units (1+6), then you add the number 7 to the end of the string ( 1 2 3 4 5 6 7) – your next wager would be 8 units (1+7). Now, if you won the first bet but you lost the second 2 and 5 , then this is what the string would look like – 2 3 4 5 and 7.