how to dig the profitable keywords in adwords?

hi i'm new to ppc

how to fast forward find the profitable keywords that your competitor bid on ?is there a reliable spy tool that give deep insights not baseless guesses ? i see my competitor don't optimize keyword targeting and use broad match that alone bring several non appropriate keywords .he missing the power of AW regardless of his high budget (+1000 keywords) this never help control budget .

how i can compete with him in some very niche words that not fairly saturated ?
right now i race in fewer unsaturated market .

Your competitor may have a large negative keyword list that the spy tools do not show. I personally have some campaigns with single, very broad keyword, but a very expansive negative keyword list so the campaign works well.