Dear Trader and Clickevents reader
I guess we all have a natural naivety built into our DNA. We like to believe what we are told, particularly if we respect the source of the telling. It's also a herd thing. If lots of people are told the same thing, they tend to start agreeing with each other. After all, it must true if everyone believes it.
Far too frequently our beliefs turn out to be the opposite of reality. Central Bankers, politicians and economic gurus' words, statements and policies frequently prove to be the opposite of what actually happens.
As with many things, personal naivety has a spectrum. Ranging from 'I believe everything and everyone', through to the opposite, totally sceptical view, of believing nothing unless seen and experienced first hand.
Way back, in my youth, I had a spell in the car trade that taught me everything I needed to know about supply and demand, pricing and presentation. I rapidly realised I could never believe anyone's description of how wonderful was the condition of their trade in car!
I soon learned to believe 0% of what I heard and no more than 50% of what I could see. A useful policy for anyone trading the markets.
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