Technically this can be any sequence you want it to be, although you do need to put some thought into it. We’ll cover this in a bit more detail later. For the sake of this explanation, we’ll use the following simple sequence.

1 – 2 – 3

The potential profit for each cycle of this system is equal to the total value of the numbers in the sequence chosen. In this case, it’s $6. Each time you bet, your stake should be equal to the sum of the first number and the last number in your sequence.

Using the above example, you would therefore stake $4 (1 + 3). If you win your wager, you then remove the first and last number from the sequence. So, with this sequence you would cross off the one and the three. If you lose your wager, you instead add the amount staked to the end of the sequence. So losing your first wager with this sequence would mean adding a 4.

The above rules apply after every wager. Win, and you cross numbers off. Lose, and you add a number to the end. For each subsequent wager, you always stake the combined amount of the first and last numbers.

The Labouchere is ultimately not a great system. Although you can lose more bets than you win and still make a profit, there is too great a chance that you will eventually lose substantially because of a long losing streak. You might get lucky using it a few times, or even for a prolonged period of time. The likelihood, though, is that you will eventually end up out of money