A Fistful of Dollars

The Stranger sees an opportunity to profit from the violent feud between the two smuggler families. By playing both sides against each other, he can extract money and goods from each faction while they focus on destroying one another. His strategy allows him to steal gold from the Rojo hacienda while the families are distracted by their conflict.

Early in the film, Silvanito explains the violent rivalry between the Rojo brothers and the Baxter family, showing the Stranger exactly who to exploit.

After witnessing soldiers transporting gold get ambushed, the Stranger buries two fallen soldiers and spreads rumors that two survivors are still alive at the cemetery. He then sells this false information to both families, convincing the Baxters they can get testimony against the Rojos, and the Rojos that they must eliminate the survivors. This triggers a deadly race between the factions while the Stranger pursues his own goals.

Ramón orders Rubio to execute Julio, Marisol's husband, to prevent any testimony that could incriminate the Rojos. Even though the supposed survivors at the cemetery were actually dead, Ramón cannot be certain and acts ruthlessly to eliminate potential threats. The Stranger and Silvanito intervene just in time to save Julio.

The Rojos have maintained power through violence and eliminating witnesses, making Ramón's order consistent with their ruthless tactics.

The Stranger instructs Marisol to return to Ramón because he knows she was taken as collateral over a cheating accusation. By sending her back, he ensures her husband and son can escape safely while he continues his plan. He also gives her money to help her family leave the dangerous town.

Silvanito earlier reveals that Ramón took Marisol as collateral, explaining why returning her serves the Stranger's larger strategy.

The Stranger wears a steel chest plate concealed under his poncho. When he challenges Ramón to aim for his heart, Ramón fires multiple times but the bullets cannot penetrate the armor. This allows the Stranger to disarm Ramón and eliminate the remaining Rojo henchmen.

The Stranger helps the Baxters primarily as a strategic move in his manipulation scheme. He rescues Marisol and negotiates her exchange for Antonio Baxter, then uses the conflict to infiltrate the Rojo hacienda. His allegiance shifts based on what benefits his own profit and survival.

After being captured and tortured by the Rojos, the Stranger manages to escape. Later, when the Rojos burn down the Baxter home, the Stranger uses a clever escape plan with the help of Piripero, the local coffin maker. He hides in a coffin and is smuggled out of town, then recuperates in an abandoned mine.

The Rojos burn down the Baxter home in retaliation for the Stranger's interference, killing many Baxter family members including women and children who try to flee the flames. Only Antonio, who was rescued earlier through the hostage exchange, survives the massacre.

The Stranger rides away because his work in San Miguel is finished, he has eliminated the Rojo threat, freed his friend Silvanito, and profited from the conflict. His nature as a wandering gunslinger means he has no attachment to the town. The ending is bittersweet: the town is cleansed of villains but remains steeped in bloodshed.

The Stranger guns down four men immediately upon entering the town to establish his lethal reputation and draw the attention of both feuding families. This violent demonstration proves his value as a potential ally or threat, setting the stage for his manipulation scheme.