If you throw 10 heads in a row the chance of the 11th throw being a head is even money. Those punting up on the tails knowing that the odds will revert to 50/50 will have lost a fortune.

Instead of loss chasing why not upping the ante for say three consecutive winners? I suspect this too may lose, but if you're looking at only backing those paying $4.00 (3/1 chance) then three winners in a row, all up, gives you the juicy odds of 63/1 with the chances of 3rd horse winning still being 3/1. Probably the odds of this event happening is closer to 100/1 rather than 63/1 ..... I don't know, but I do believe loss chasing is dangerous.

Read up on David Walsh.