Is jQuery an option for you? It makes what you are doing really simple since the code already exists.
http://jqueryui.com/demos/draggable/
JavaScript Code
window.onload = addListeners;
function addListeners(){
document.getElementById('dxy').addEventListener('mousedown', mouseDown, false);
window.addEventListener('mouseup', mouseUp, false);
}
function mouseUp()
{
window.removeEventListener('mousemove', divMove, true);
}
function mouseDown(e){
window.addEventListener('mousemove', divMove, true);
}
function divMove(e){
var div = document.getElementById('dxy');
div.style.position = 'absolute';
div.style.top = e.clientY + 'px';
div.style.left = e.clientX + 'px';
}