XMLHttpRequest Ajax IE Problem

I am tr开发者_StackOverflowying to do a simple Ajax Demo:

1. HTML file with textbox and button
2. Text file whose content is displayed in textbox when button is clicked.

The example works fine in Mozilla but in IE it gives error Access Denied on the line where I use the open method.

May be it's restricting the access to the local file system. What should be the solution to make this example work?

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Put your files on a server (local testing server on your computer).