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To: LLCF who wrote (84508)3/23/2001 12:47:27 AM
From: GraceZ  Read Replies (1) | Respond to of 436258
 
The original question was, how can the price be held up when there is so much selling?. I was simply demonstrating how this happens all the time. That money flow can be negative and there is more selling than buying but the price is RISING. This goes against what most people think should happen when the houses come in and sell big blocks. You even implied in your last post that there needs to be a buyer on the other side of that block.

If money flow studies were meaningless they wouldn't be so lucrative. Price almost always follows the money eventually. In between immediately and eventually there is a lot of room for profit.

Furthermore, I kind of like to know if I'm buying the real deal or a souffét don't you? You can not tell what is happening internally to a stock by watching the tape action....not even if you spend ten years doing it. Anything can happen in the future, as you state, but sometimes you want to know exactly what actually is happening right then.

I hate to say it, but I've met very few traders, even successful ones, who really understand what makes price move. This is why they all think it's some sort of manipulation when price doesn't go the way they think it should, that there is some inside big guy who is pulling the strings.



To: LLCF who wrote (84508)3/23/2001 3:39:35 AM
From: chic_hearne  Read Replies (1) | Respond to of 436258
 
And sometime a monster counter order comes in and makes the whole thing moot... if this stuff meant anything there would be zillionaires out there with computer programs. Not to be glib, but I've been tape watching for 10 years, this is nothing new, and is often meaningless.

I've only been watching the tape for about a year, but I agree. -g