Effects of too many people trading the same system?

["David Folster" <mr_bond@xxxxxxxxx>]

I would be interested to hear comments re: what peole think about too many
people trading the same system, i.e. does it negatively effect the system?
I've always wondered about why people say this is so.  It seems to me that
the more buying/selling power there is, the stronger it would make the
system.  But that is just logic off the top of my head; I have no idea how
this would really play out.  It also seems to me that even if the concept
were true, that the stock market is so huge, it would be difficult  for any
one system to be negatively affected by a large number of people trading it.

People often say that if there were a large number of people trading a
system, eventually the floor would start fading those signals... but does
anyone actually do that?  Does anyone actually know people who say, "hey OB
(or whatever) is going long, lets fade it!" ?  That seems kind of unlikely
to me, but I'd be interested to hear comments from people who know better.

Thanks,

David