The best way to win consistantly is to overbid. Not a good strategy.
The smartest way to win to to snipe. I use AuctionSniper.com, and have been for a number of years (I'm saying that because you have to give them your eBay password, and naturally I had some trust issues with this when I first signed up).
It's a pretty basic process: figure out the max you're willing to spend, input your bid into AuctionSniper, and set it to bid maybe 5 or 6 seconds before the item's end time.
This "hidden" technique avoids the bidding war, and the run-up in price that occurs when two buyers openly compete for the same item.
Usually, when I do win, the amount I pay is considerably lower than my max. Sometimes I'm outbid. Other times my max isn't high enough to make the next bid increment (effectively outbid, even though the winner is a buck or so lower than me).
Best way to lose money on eBay is to assume items listed there are the cheapest. Research everything and you may be surprised that many items can be had for less money on retailer websites such as Amazon, PricePoint, aebike, BlueSky, etc.