How the Stock Market Works - futures io
futures io

How the Stock Market Works

Discussion in Off-Topic

      Top Posters
    1. looks_one Mickey Caine with 1 posts (7 thanks)
    2. looks_two deaddog with 1 posts (1 thanks)
    3. looks_3 MNSTrading with 1 posts (0 thanks)
    4. looks_4 tamarasullivan with 1 posts (0 thanks)
    1. trending_up 2,293 views
    2. thumb_up 8 thanks given
    3. group 8 followers
    1. forum 6 posts
    2. attach_file 1 attachments

Welcome to futures io: the largest futures trading community on the planet, with well over 125,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

Search this Thread

How the Stock Market Works

(login for full post details)
  #1 (permalink)
 Mickey Caine 
Kent, England
Experience: Intermediate
Platform: Sierra
Broker: Infinity
Trading: Oil
Mickey Caine's Avatar
Posts: 196 since Jul 2009
Thanks: 1,605 given, 353 received

Once upon a time in a place overrun with monkeys, a man appeared and announced to the villagers that he would buy monkeys for 10 each. The villagers, seeing that there were many monkeys around, went out to the forest, and started catching them.

The man bought thousands at 10 and as supply started to diminish, they became harder to catch, so the villagers stopped their effort. The man then announced that he would now pay 20 for each one.

This renewed the efforts of the villagers and they started catching monkeys again. But soon the supply diminished even further and they were ever harder to catch, so people started going back to their farms and forgot about monkey catching.

The man increased his price to 25 each and the supply of monkeys became so sparse that it was an effort to even see a monkey, much less catch one.

The man now announced that he would buy monkeys for 50! However, since he had to go to the city on some business, his assistant would now buy on his behalf.

While the man was away, the assistant told the villagers, 'Look at all these monkeys in the big cage that the man has bought. I will sell them to you at 35 each and when the man returns from the city, you can sell them to him for 50 each.'

The villagers rounded up all their savings and bought all the monkeys. They never saw the man nor his assistant again and once again there were monkeys everywhere.

Now you know how the stock market works.

Visit my futures io Trade Journal Started this thread Reply With Quote
The following 7 users say Thank You to Mickey Caine for this post:

Can you help answer these questions
from other members on futures io?
Exit on close of Bar
VWAP - Do you trust it?
Sierra Chart
Google Keyword Search Alerts
Traders Hideout
pay for programmer coding a custom indicator
Traders Hideout
What are the main Eurobond futures and their respective …
Traders Hideout
Best Threads (Most Thanked)
in the last 7 days on futures io
Why dont people trade 150 ES contracts?
36 thanks
Spoo-nalysis ES e-mini futures S&P 500
34 thanks
Vinny E-Mini & Algobox Review TRADE ROOM
25 thanks
Daytrading.Coach Review
21 thanks
How to avoid wiping out the accounts?
15 thanks
(login for full post details)
  #3 (permalink)
Grand Rapids, Michigan
Experience: None
Trading: Commodities and Russell
MNSTrading's Avatar
Posts: 158 since Nov 2015
Thanks: 59 given, 326 received

worked out for the monkeys.


Coming, they can't be denied. Going, they can't be detained.
Visit my futures io Trade Journal Reply With Quote
(login for full post details)
  #4 (permalink)
Legendary Market Wizard
Prince George BC Canada
Experience: Advanced
Platform: BMO / Questrade
Broker: BMO / Questrade
Trading: Stocks
deaddog's Avatar
Posts: 926 since May 2013
Thanks: 140 given, 2,783 received

You have to realize that the stock market is not there for you to make money. It's there for the people who run the market to make money.

Not unlike any other market, be it cars or food or clothing, you might be able to find an opportunity to take advantage of the way things are run, but the market was never intended to make money for the customer.

"The days when I keep my gratitude higher than my expectations, I have really good days" RW Hubbard
Reply With Quote
The following user says Thank You to deaddog for this post:
(login for full post details)
  #5 (permalink)
Ohio, United States
Posts: 5 since Aug 2021
Thanks: 0 given, 0 received

Thanks for explaining how the stock market works in easy words

Reply With Quote
(login for full post details)
  #6 (permalink)
London, United Kingdom
Posts: 6 since Oct 2021
Thanks: 0 given, 0 received

Was expecting a complicated explanation but daaamn that's nicely done.

Reply With Quote
(login for full post details)
  #7 (permalink)
Savannah, GA
Posts: 4 since Oct 2021
Thanks: 7 given, 0 received

LOL, that's kind of messed up how the man and his assistant worked that out. Does the market really work like that? Who's the man? and who's the assistant?

Reply With Quote

futures io Trading Community Off-Topic > How the Stock Market Works

Last Updated on October 14, 2021

Upcoming Webinars and Events

NinjaTrader Indicator Challenge!


Copyright © 2021 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada),
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts