Re:Kelly Criterion
by mytherin on Friday April 16, 2021 @12:19PM
(#26835820)
The probability of a coin flip being heads or tails is completely independent from the previous flips. If the coin lands 6 heads in a row, the next coin flip still has a 60% chance of being heads, hence it is always unwise to bet on tails in this experiment. This is an example of the Gambler's fallacy [1].
[1] https://en.wikipedia.org/wiki/Gambler%27s_fallacy