Google: Traders View Deal Positively

NEW YORK ( TheStreet) -- So much has already been written about Google's ( GOOG) takeover bid for Motorola Mobility ( MMI).

There is the analysis from every angle from whether the deal will fly to what are Google's true intentions. I'm not here to dismiss all of this as rubbish but to simply suggest that it's all talk and hyperbole to some degree.

Even if we know the true intentions, for example, does that somehow give us a better understanding of where its stock price will be two months into the future? If it does, I'm not sure that I am smart enough to figure it out so I just try and look to the charts to tell me what people are doing with their money. Let them figure it out and tell me through their transactions.

What the traders are saying is that it's not perceived to be a bad deal. Here's the daily chart.

As you can see, despite spending all that money, investors did not sell the stock with any surge of emotion and the result is that the lows from last week were not even tested as a result of the deal. Now that can change but from this short-term view the deal is being viewed positively.

If I pull the chart back to see what the longer term implications are, on a weekly basis where a solid anchored support zone sits from $525 to $537. I would expect that with the current market environment, that's the zone one should consider trying to buy into.

Finally, on a long-term chart, it can be argued that Google has been doing nothing more than has been trading on two large trading floors for the past couple years. It currently remains centered in the higher of the two.

In summary, Google's deal making is generally viewed as positive by traders but the best price entry is still the anchored zone exhibited in the weekly charts.

Until next time, as always, just keep trading the charts.