Thursday, May 13, 2010

A harsh and hostile environment

Every trader tries to take money from everyone else. Everyone is trying to make money at

everyone else’s expense. It is a uniquely harsh environment, everyone is against you and you are against everyone else. One analyst compares it to a medieval battle - a man used to go to

the battlefield and hill his adversary while his opponent tried to do the same to him. The

winner took the loser’s weapons, his chattels and sold his wife and children into slavery.
Today traders to battle on the Exchanges instead of on the field. When you take money away
from a trader, it is not that different from drawing blood, he may lose his home, his chattels,
and his wife and children may also suffer. Is this description a bit exaggerated? Perhaps;
however, there is no denying how hostile the trading environment feels when you trade in it,
to stand alone can be, and is, uncomfortable.

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