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Technology Stocks : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?

To: Night Writer who wrote (17583)	10/16/2002 7:59:39 AM
From: pchristi12534	Read Replies (1) \| Respond to of 19079

It appears that some ORCL investors are not only bailing out, they're aggressively bailing out. In 6 of the last 13 trading days, ORCL has advanced in price while Money Flow data has been negative. This suggests that selling shareholders don't think the price is going much higher. An explanation might be helpful. Daily Money Flow is calculated by subtracting the dollar value of all uptick trades from the dollar value of all downtick trades. If the resulting number is positive, then money is flowing into the stock on upticks - if negative, then money is flowing out of the stock on downticks. Since there must be a buyer for every seller - and a seller for every buyer - this is a useful metric to determine whether buyers or sellers are being most aggressive. If the trend persists for a period of time, one can judge whether the stock is being accumulated or distributed - and by inference whether the future value of the stock is likely to advance or decline. In the recent trading history of ORCL, it's the sellers who have been most aggressive. To emphasize that point one need only ask the question, "Why sell on downticks, rather than just feeding the stock into an advancing market?" It seems logical to assume that the answer to that rhetorical question is that sellers don't think that the stock is going higher and they're anxious to bail out.