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because a SET is NOT reraising all in there.

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Poker newb question: Why not?
Is it because you don't want to scare them out? I'm still playing the penny tables and see all sorts of crazy stuff. People go AI to take pot right then and there. And if someone calls, all the better. If I'm wrong here I'd like to know the correct thinking on holding the set.

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IMHO he is wrong. A set will be going all in on a regular basis.

After the initial round of betting there is $18 in the pot and hero then puts $12 in making the pot $30. The re-raise all-in is basically a pot bet and nothing wrong with that.

If he simply called the $12 bet he is giving a possible drawing hand a free card. Not a good move.