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The ELO rating system is a method for calculating the relative skill levels of players or teams in zero-sum games. Originally developed for chess, it's now widely used in football to rank teams based on their performance.
Teams gain points by winning games and lose points when defeated. The number of points gained or lost depends on the difference in ELO between the teams. Beating a higher-rated team earns more points than beating a lower-rated one.
2400+: Elite teams
2200-2399: Top-tier teams
2000-2199: Strong teams
1800-1999: Good teams
Below 1800: Developing teams
ELO ratings can be used to predict match outcomes. The difference in ELO between two teams can be converted into a win probability. Generally, a difference of 100 points gives the higher-rated team about a 64% chance of winning.