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Where To Start ?
I disagree with most of what you said. Point-by-point:
"If a team is over the cap they will need to cut guys to get under it and those players will be available in the FA draft. To trade for guys you may be able to pick up in the FA draft helps the high cap team get value for guys he would have had to give up for nothing."
Good advice if you have 8 first round FA picks and are feeling lucky about the draft order. If not, then you're chances of being the team who gets that good player that was cut suck. You have a 5% chance of getting the #1 pick. If the player is #1 material then grab him before someone else does.
"It DOES make sense to be very cautious in trading with teams in your division who currently have a better team than you. Helping yourself doesn't help you win the division if you help them as much as you help yourself."
The only thing I agree with and I said it in my earlier post as well.
"Similarly, helping the guys who are most likely to be your opponents if you make the playoffs (high cap teams) is just cutting your own throat."
So don't do a deal that'll help you make the playoffs because you might face that team in the playoffs and lose ? That's insane. If you can make a trade that increases your chances of making the playoffs, DO IT !!! You'll have 6-7 months of more fun with a better team and then take your chances in the post-season; anything can happen in a short series.
"An even trade with a team who is going to have to cut a guy due to high cap helps the high cap guy considerably more than it helps you."
Not true. First off, the trade won't be even according to PB value because the high-PB value team has to give more than they get. Also, the high PB teams have extra talent, if they're willing to give you some then take it.
"It is frustrating for a high cap team to find he can't get value for the players he is going to be forced to cut, but that doesn't mean you should feel sorry for them and help them out."
No one trades with anyone out of pity. I can't speak for others but if I can't get a fair trade I'd much rather cut the guy than trade him for next to nothing. Maybe I can get him back in the FA, probably not, but I'd prefer that to getting ripped off.
Last thing, people keep mentioning to avoid the 35 year old who had a good year. A couple of years ago there was a 35 year old coming off major surgery after missing 40% of the season. People who traded for Barry Bonds then didn't do badly. Lesson: look at every case individually. In Trad leagues you're going to get the good numbers from him at the very least, after that do some homework and make an informed decision.