It's definitely connected to the gambler's fallacy, but can you say more what you mean? You're ultimately talking about something that leads to improved performance, yes? Obviously the data won't be able to analyze the underlying physical and mental condition of the players, which I'm sure is very important. The basic idea is that the fact that Skrtel was good the last 3 games only gives you very slightly more valuable information than the fact he was very poor at the end of last year. I'll defer to csgreen, though, as he sounds much more immersed in this stuff than me.
What I refer to as "form" is when players play up to the level expected for their position and unit within the team, and the relationships of trust that build up because of that consistency. So, for example, with Skrtel, there is no guarantee that he will play up to his current "form" in the next game - of course there isn't. But we can have a reasonable expectation that he will, based on the past few games. Additionally, he hasn't done anything to merit dropping from the team, because of the aforementioned "form" (or, in reality, consistency). Because of this consistency, his other two team-mates (Sakho and Toure) within the unit he is playing in, have come to understand his actions, the timing of his actions, and his decision-making, and they trust that he is consistent in these areas. So they have confidence in him, and that, in turn, breeds confidence in them from Skrtel (as well as his own self-confidence). So his arousal state is at an optimal level (not over-confident, not anxious, but calm and controlled), his performance remains high, his communication with his direct partners is at its best, and he shows "form" - i.e., he gives no reason to be dropped, and every possibility that this "form" or consistency will continue. There is no reason to expect his performance level to drop. What you lads seem to be referring to, is more concerned with forwards and scoring streaks, or keepers and clean sheets, where the outcome is clear (either/or) and one outcome doesn't influence the next, because the outcomes are largely random (as Reep and Benjamin, among others, showed in "Skill and Chance"). But this is different to the actual overall performance of a player, focused on processes rather than outcomes, because a large part of it is psychological, physical, and tactical in nature. It's why Carroll couldn't find "form", no matter how many games he played, and why someone as seemingly limited as Downing played a big part in our tactical play last season. "Consistency" is probably a better phrase than "Form", but the meanings are the same - a reasonable expectation, based on immediate past performances, of consistency in immediate future performances.