I just watched a movie called Rounders with Matt Damon and Edward Norton that had a lot of similarities to trading. I know it's about poker not trading, but I liked the whole way they make poker into a skill-set not a gamble.
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This is not a movie rather a TV series that is called "storage wars" where a bunch of guys bid on a locker with some content in it. They have 5 minutes to look into the locker to decide if they want to bid for it.
So you have the first bid, then the second, third until you have the highest bidder who gets the locker.
Very similar to an auction, however this storage bidding is done in a small setting and small group of people.
Here is the interesting part: someone who says he will never bid more than $100 on a locker, all of a sudden finds himself bidding north of it. Why? because he thinks that is someone bidding high prices might know something about the content of the locker. Bidders who were quite when the prices were reaching $500 per locker lets say , all of a sudden find themselves bidding north of that thinking that if prices got so high there must be value in it. they don't want to miss on the action.
This remind me trading behavior: How many times did you get a buy signal at one prices but got in much higher?
prices stated climbing and you were afraid to miss a move and got in way higher just to see prices reverse?
You didn't want to miss on the action.
Here is another interesting fact about the show. This guy Dave.
He knows how to waste the amateur's money by bidding high on bad lockers while he knows how to arouse emotions.
Dave wastes people's money on the bad lockers so they run out of $$ for the good lockers.
I feel that he is the "institution" who "plays" the amateurs.
Worth watching because this is truly not far from the market auction place.
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