ild, institutional activity can be measured if you want to give it a broad enough definition. If you assume that any block trades over a certain size are institutional, you have your number. However, there are wealthy individuals who trade and even leveraged day traders who do size, so I don't know how they sort them out of the mix.
Money flow is kind of nonsense, as, for every buyer, there has to be a seller. However, the way they do it is to count brokerage trading desks as non-players. So, if Fido buys and Goldman shorts the stock to them, that is positive money flow. Goldman isn't trying to make money or anything on its short position. <VBG> It is definitely a TA number, because it is nonsensical.
The last point is more honest. If folks sell $10 billion worth of chip stocks and buy the same amount of bank stocks, it doesn't matter that the $10 billion in chips was $15 billion last month. The banking sector still has gone up to accomodate the new cash coming in. |
