http://gibbonstrading.wordpress.com/2008/09/

Another leg down
September 26, 2008
The smartest guys (Harvard & MIT MBAs) in the room that sanction the Federal Reserve and governmental interference into the economy are the guilty culprits and should be held accountable for their incompetence.

There is nothing wrong with losing trades as they are to be expected, and even with our very high winning percentage- we have a lot of them. Being wrong in the markets is part of trading, but how you can destroy yourself in trading is staying wrong. The major difference between amater investors who are mostly losers in the markets and professional traders who take much of what amateurs lose, is that amateurs because of unresolved ego problems will stay wrong while professional traders cut their losses quickly.

The solution to our economic problems, is to free markets and eliminate the Federal Reserve System. At the same time, return to a 100% gold standard. Politicians would not be able to spend money they don’t have, and people’s wealth would not be depreciated by inflation that only the Fed can cause.

The Great Depression was caused by credit creation in the 1920s and the government not allowing malinvestments to be liquidated during the 1930s. The Federal Reserve caused the depression, and now here we are again. The only thing we learn from history is that we don’t learn from history.