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Non-Tech : MFN Mercury Finance -- Ignore unavailable to you. Want to Upgrade?

To: raven who wrote (1052)	3/8/1998 12:52:00 PM
From: DanZ	Respond to of 1239

Raven, My charts show the upper bollinger band at 13/16 so the stock hasn't closed above resistance yet. Further, this stock has a habit of breaking out and pulling back inside of the bollinger bands the next day. The money flow was better last week although I can't make a bullish case from the data. Here's why. Date Money Flow Volume MF/V 2/23 -479,800 937,800 51% 2/24 -541,800 945,200 57% 2/25 -610,700 846,800 72% 2/26 -272,600 576,100 47% 2/27 -559,500 1,456,400 38% 3/2 -223,000 484,600 46% 3/3 +466,200 7,156,400 7% 3/4 +111,500 1,972,000 6% 3/5 -129,600 1,378,200 9% 3/6 +428,200 9,559,800 4% Notice the money flow as a percentage of total volume. Based on my experience, the money flow is a more reliable indicator when it is at least 20% of the total daily volume although it depends on the stock. The higher the percentage, the more reliable the indicator. I'm sorry to be so pessimistic on MFN but I just can't make a bullish case for it. I wouldn't call the stock a sell, but I wouldn't buy it either. Good luck to all who are holding. Dan

To: raven who wrote (1052)	3/8/1998 2:15:00 PM
From: DanZ	Read Replies (2) \| Respond to of 1239

Raven, I wanted to expand on my earlier comments on this thread. I think what we are seeing are the "little guys" buying and the institutions (or large holders) selling. And while the institutions may not be right, I don't think MFN will rally in a meaningful way until one or both of the following occur. 1. All the large holders who want to sell the stock have sold it. 2. Big buyers of the stock come back in. Until one or both of those things happen, I think the stock will be stuck in a trading range that makes it possible for traders to make money but will be frustrating for long term holders. There are two reasons that I don't like MFN: 1. I prefer to buy stocks that have a chance of institutional sponsorship because they are the ones who really move a stock. I don't think MFN falls into that category because many institutions will not buy a stock in this price range. This especially true given the state of the company. 2. I prefer to buy stocks when I have confidence in my decision. I'm not always right, but I always think I'm doing the right thing when I make a trade. I don't have that confidence level in buying MFN. To me, it's just a toss up. Best of luck, Dan