Strong Players vs Weak Players
The complex and intricate principle of the ecological pyramid is at the very foundation of the stock market. The strong players, who can be likened to predators, profit from the weak players, who are like prey. This is precisely the reason why the stock market was created. While the strong players are less in number, they possess several advantages that allow them to dominate the market. Conversely, the weak players, who are in greater numbers, are at a disadvantage and usually end up losing. In fact, the majority of them make costly mistakes.
 Elite Strong Players
The strong players are an exclusive group of elite bankers, insiders, professionals, market makers, financial and media magnates. They are known for their prowess in the market and the advantage they possess over the weaker players – the general public, newcomers, and the crowd.
 Business Model of Stock Market Speculation
The business model of stock market speculation involves a complex cycle that plays out in three phases.
 Accumulation Phase
The first phase is accumulation, which is triggered by a market crisis. Bad news dominates the media, and the weak players, paralyzed by fear and panic, are forced to sell their stocks. The strong players seize the opportunity to buy these stocks at low prices.
 Uptrend Phase
The second phase is characterized by an uptrend in the market due to the scarcity of stocks. The strong players continue to increase their holdings, and the prices continue to rise.
Distribution Phase
The final phase is distribution. The media switches from bad news to good news, leading to a frenzy in the market. The weak players, driven by the hope of making a profit, eagerly buy stocks from the strong players, assuming that the upward trend will continue. However, the market takes a sharp downturn, leading to losses for the weak players.
 Advantages of Strong Players
The stock market is a zero-sum game – if one person makes a profit, another person has to suffer a loss. There are no friends in the stock market, and every player is out to maximize their advantage. The strong players possess several advantages that allow them to outsmart the weak players:
 Informational Advantage
Informational advantage: The strong players have access to insider information, allowing them to take advantageous positions in advance. They can anticipate stops and “knock them out,” earning additional profits. They are also known to misinform the weak players through the media.
 Technical Advantage
Technical advantage: The strong players have access to high-speed communication with the stock market, unique programs, and modern equipment that give them an edge over the weak players.
 Psychological Advantage
Psychological advantage: The strong players are not influenced by the emotions of greed and fear and are well-versed in the behavior patterns of traders.
Organizational Advantage
Organizational advantage: The strong players are disciplined, and their offices operate around the clock, giving them an edge in the market.
 Success in the Stock Market
To succeed in the stock market, it is crucial to learn how to read supply and demand on a graph and understand the patterns of the strong players. Using their advantages to trade in harmony with them is a surefire way to achieve success.
However, it is important to remember that the stock market involves risk, and there are no guarantees. It is essential to have a good understanding of the market and be prepared to accept losses. Moreover, developing a trading strategy, being patient, and not letting emotions drive decisions are key to minimizing risk.
 Conclusion
In conclusion, the stock market operates on the principle of the ecological pyramid, with strong players preying on weak players. The strong players, consisting of elite bankers, insiders, professionals, market makers, and financial and media magnates, possess several advantages, including informational, technical, psychological, and organizational advantages. These advantages allow them to dominate the market and profit from the weak players, who are typically the general public, newcomers, and the crowd.
To succeed in the stock market, it is important to learn how to read supply and demand on graphs, understand the patterns of strong players, and trade in harmony with them. Developing a trading strategy, practicing patience, and managing emotions are also crucial for minimizing risk and maximizing potential gains. Remember that the stock market involves risk, and success is not guaranteed. A good understanding of the market, being prepared to accept losses, and a disciplined approach are essential for navigating the complex world of stock market trading.
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