The Stock Market simply illustrated ... is there a lesson here?
Once upon a time in a village, a man appeared and announced to the
villagers that he would buy monkeys for Rs10. The villagers seeing that
there were many monkeys around, went out to the forest and started
catching them. The man bought thousands at Rs10 and as supply started to
diminish, the villagers stopped their effort. He further announced that he
would now buy at Rs20. This renewed the efforts of the villagers and they
started catching monkeys again. Soon the supply diminished even further
and people started going back to their farms. The offer rate increased to
Rs25 and the supply of monkeys became so little that it was an effort to
even see a monkey let alone catch it. The man now announced that he would
buy monkeys at Rs50! However, since he had to go to the city on some
business, his assistant would now buy on behalf of him. In the absence of
the man, the assistant told the villagers. Look at all these monkeys in
the big cage that the man has collected. I will sell them to you at Rs35
and when the man returns from the city, you can sell it to him for Rs50."
The villagers squeezed up with all their savings to buy the monkeys. Then
they never saw the man nor his assistant, only monkeys everywhere!! !!
--
sound familiar?
Hilarious read..got this from overseas
Started by
n83
, Sep 01 2007 01:20 PM
2 replies to this topic
#1
Posted 01 September 2007 - 01:20 PM
#2
Posted 01 September 2007 - 04:33 PM
Substitute "monkies" with "houses" and the story rings true again
"Money cannot consistently be made trading every day or every week during the year." ~ Jesse Livermore Trading Rule
#3
Posted 02 September 2007 - 11:26 AM
Monkey see - Monkey Do ! If the Greed doesn't get you Fear will. Trick is so recognize both
People should not be afraid of their governments. Governments should be afraid of their people.
Remember this day, men, for it will be yours for all time.
Remember this day, men, for it will be yours for all time.