You have misunderstood how AS works (and to a certain extent how ebay works...).
First of all, a price of x.99 is a seller's ploy to make something look cheaper than it is. To be more succesful as a bidder you need to bid Y.01 which can outbid those that still bid in whole units.
AS bids once, at your max, near the end of the Auction. Ebay's proxy bidding system then kicks in and looks after your bid/snipe.
So read the AS FAQs and read up on Proxy bidding on eBay.