Viewing Month: May 1945

Tabell’s Market Letter – May 03, 1945

Tabell’s Market Letter – May 03, 1945

Tabell's Market Letter - May 03, 1945
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TECHNICAL MARKET ACTION The industrial average closed at a new high on Thursday at 165.84 as against the previous high of 165.44 reached on April 30. The rail average, however, failed to penetrate the comparable high of 57.19. Special situations continued to highlight tile advance, while previously active issues marked time. It would appear that this type of market action could continue for a period of time. However, it would be surprising if the advance continued much further without a technical correction. Would expect any decline to be only of minor significance. The 161-159 area should be a strong support level. The long term trend is still definitely higher. The lower priced issues, with a few exceptions, have been rather laggard Since tile inception of the cash below 10.00 margin rule of early March. Recently, however, a number of issues have shown renewed signs of vigor. The writer has recommended a number of low priced issues that have excellent technical formations. These issues will undoubtedly require considerable patience but purchase could result in sizeable percentage appreciation. A number of such issues are listed below. American Republics Continental Diamond Fibre Delaware, Lackawanna & Western Gair (Rob' t.) Hat Corporation Radio Corp. of America Radio-Keith-Orpheum Republic Aviation Walworth Last Sale 15 1/2 11 1/8 10 7/8 6 8 5/8 11 3/4 8 1/8 8 3/8 10 3/8 Budd Manufacturing, recommended at 10 1/2, was quite active on Thursday and equalled tile 1945 top of 12 1/2. This issue has been in long line formation between roughly 10 and 12 1/2 since mid 1944. A penetration of this trading range to tile 13 level would, from a technical viewpoint, indicate a 1V0rthwhile advance. Lehigh Valley R. R. was recommended for purchase at 9 on February 15til. Since that time the stock has appreciated almost 50 to 13 1/8, with most of tile advance taking place in the last few days. While long term technical indications point to an eventual price level in the 17-22 range, suggest taking trading profits for the moment. With funds so liberated, advise purchase of another recommended rail issue, Delaware, Lackawanna & Western, if available around 10. Engineers Public Service, recommended at 15 7/8, reached a new high on Thursday at 24 1/2. The close was 24. Engineers also indicates higher levels over the longer term, but the profit of over eight points seems worth taking in hope of replacing on soft spots. Continue the advice outlined in previous letter on the balance of recommended list. The record on completed trading transactions since the first of the year is Number of trades 46 Number of Gains 46 Number of Losses o Total Points Profit 300 1/4 Total Points Loss 0 May 3, 1945 EDMUND W. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-Jones Rails 165.84 56.72, The opinions expressed in this letter are in the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company.

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Tabell’s Market Letter – May 07, 1945

Tabell’s Market Letter – May 07, 1945

Tabell's Market Letter - May 07, 1945
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TECHNICAL MARKET ACTION On volume of almost two million shares, the market declined fractionally on Monday. There were a number of cross currents, however, with strength in some of the peace issues. The market has evidently reached a supply area that has, at least temporarily, slowed the advance. In the last eighteen trading days, while individual issues have advanced sharply, the Dow-Jones industrial average has remained in the comparatively narrow range of 162.06 low and 166.94 high. The top of the range is the 165-167 area, which is indicated as a temporary resistance area on the writer's graphs. Also, while the industrial average reached a new high last week, the rail average failed to confirm by passing the high of the preceding week. The writer believes it would seem logical to expect some minor correction from around present levels. Any such correction should meet support around the 161-159 level and would be of only minor significance. Both the intermediate and major trend point up and substantially higher levels should eventually be seen. Some profit taking has been suggested in recommended issues. Continue to some lightening of accounts on strength in anticipation of replacing trading lines at slightly levels. EDMUND VI. TABELL SHIELDS & COMPANY May 7, 1945 Closing Dow-Jone8 Industrials Dow-Jones Rails 166.53 56.31 I The op1n1ons expressed in this letter are in the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company

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Tabell’s Market Letter – May 10, 1945

Tabell’s Market Letter – May 10, 1945

Tabell's Market Letter - May 10, 1945
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TECHNICAL MARKET ACTION On volume of 1,510,000 shares, market declined sharply on Thursday with the industrial average down 2.07 points at 163.17 and the rail average down 81 cents at 54.70. Believe this action is only normal and will, after somewhat lower prices, eventually place the market in a buying range. On April 12th, when the averages were around 158, the writer suggested the area as the indicated rally objective. The high so far, has been 167.25. The comparable area on the New York Times average was the 117 1/2 – 119 1/2 range. The high was 119.75. The rail average which indicated 55-56, reached a high of 57.48. At Thursday's low of 162.68, the Dow…Jones industrial average was fairly close to the top of the indicated decline area of 161-159. The New York Times average on which exact figures are not available at the moment, must also be fairly close to 115-114 objective. The writer continues to believe that the present decline is a much needed technical correction of the sharp 14 point rise from the March 10lVs. After the correction is completed, continue to expect new highs. There is no indication that either 'the. intermediate trend or major trend is other than up In anticipation of the decline, the writer has advised taking profits on a number of recommended issues. The record on completed transactions since the first of the year is – Number of trades 47 Number of Gains 47 Number of Losses 0 Total Points Profit 304 1/4 Total Points Losses Would use further weakness to reaccumulate issues sold and add new commitments to the recommended list. The following are recommended for purchase if avail- able in the buying range noted. 1945 Thursday's High Low Buying Range American Cable & Radio American Bank Note American Viscose Atchison, Topeka &Santa Fe Bethlehem Steel Bohn Aluminum Briggs Manufacturing Celanese Cluett Peabody Federated Department Stores Florence Stove General Railway Signal Illinois Central International Minerals & Chem. Lima Locomotive Montgocery Ward Nehi Corporation Newport Industries Philco Corporation U. S. Industrial Chemical Wheeling Steel 13 3/8 28 1/2 53 1/4 98 3/4 81 3/4 61 3/8 433/4 52 1/2 44 1/2 35 3/4 47 37 37 5/8 24 1/4 59 1/8 621/2 18 1/2 25 40 491/4 40 1/2 11 3/8 27 1/2 53 91 1/2 75 3/8 55 1/4 40 5/8 47 1/2 42 1/4 34 1/4 . 46 1/4 33 32 1/4 22 1/4 54 59 1/8 17 3/4 23 1/2 36 5/8 46 3/4 36 11 1/2 – 11 26 – 25 51 – 50 .. – 90 – 87 75 – 73 54 – 52 40 – 39 45 – 44 41 – 40 33 – 32 43 – 42 32 – 30 31 – 30 22 – 51 – 48 56 – 54 17 – 16 22 – 2l 36 – 35,….. 45 – 43 35 – 33 EDMUND W. TABELL SHIELDS & COMPANY May 10, 1945 Closing Don-Jones Industrials Dow-Jones Rails The in this letter are the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company.

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Tabell’s Market Letter – May 14, 1945

Tabell’s Market Letter – May 14, 1945

Tabell's Market Letter - May 14, 1945
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TECHNICAL MARKET ACTION The market eased off fractionally on Monday on small volume. On the two previous trading days of Friday and Saturday, the market had rallied but also on small volume. As yet, nothing has happened to change the pattern of a minor dOln1trend. This pattern is clear in the rail average with a high of 57.48 on May 1st, a dip to 55.80 and a subsequent failure to pass the May 1st high and confirm the upswing in the industrial average. This unfavorable picture was followed by a dip below the 55.80 low to 54.42 on Thursday, May 10th. The industrial average reached a new high 'of 167.25 on May 7th. Last week's reaction carried the average down to 162.60, followed by a rally back to 164.41 today and a close of 163.45. Should the decline carry belol7 the 162.60 low, this average would confirm the dOl1Iltrend in the rail average. Would expect any decline to meet support in the 161-159 area. Believe that the present decline will not be important. Expect further correction to be followed by new highs before a full-fledged decline of intermediate proportions occurs. Would replace issues sold recently on strength on a further extension of the decline to the 161-159 area. Still advise chase of the twenty-one stocks recommended in letter of May 10th, if available in the specified buying ranges. Only one issue, American Cable & Radio, has so far reached its recommended buying range. American Cable & Radio was advised for purchase in the 11 1/2 – 11 Today's close was 11 3/8. The issue has been in an extremely narrow trading range since reaching a high of 14 in 1944. The range so far this year has been 13 3/8 high and 11 1/4 10\,/. While action may be slow for a while, believe that the narrow trading phase indicates a period of reaccumulation to be followed by a worthwhile run-up to new highs. Its pattern is very similar to that of Budd Manufacturing which, after a long patience-.trying period, emerged from a long trading range to reach a new high of 14 1/4 today. EDMUND W. TABELL SHIELDS &. COMPANY May 14, 1945 Closing Dow-Jones Industrial Average 163.45 Dow-Jones Rail Average 55.67 The opinions expressed in this letter are the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Co.

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Tabell’s Market Letter – May 17, 1945

Tabell’s Market Letter – May 17, 1945

Tabell's Market Letter - May 17, 1945
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TECHNICAL MARKET ACTION The averages, at Thursday's highs of 165.85 for the industrials and 56.78 for the rails, were again within hailing distance of the bull market highs of 167.25 for the industrials, reached on May 7th,and 57.48 for the rails, reached on April 30th. The direction of the next important move in the market should be signalled bw.one of the following happenings. (1) The trend over the near term would be indicated as up if the rail average were able to penetrate 57.48. high. The rail average has yet to confirm the continuation of the uptrend signalled by the industrials. In fact, the rail average still remains in a minor downtrend. (2) The trend over the near term would.be indicated as down if the industrial average, which has not as yet signalled a minor downtrend, sold below the l62.El low of May 11th. It would then confirm the minor downtrend already Signalled by the rail average. Thus the two important signals to watch would seem to be 57.48 high of the rails and l62.El low of the industrials. Until one of these points is penetrated, there is no definite indication of the trend. As to the extent of the advance or decline if either of these points are penetrated, the picture is not clear. On the downside, the 161-159 level in the industrial average should furnish support. On the upside, there is resistance in the 169-175 area. In a nutshell, indications seem to point to a rather wide trading range bounded roughly by 175 to 155 as the extremes and 167 to 159 as the inner limits. Continue the advice outlined in recent letters of selling some recommended issues on strength and purchasing recommended issues on weakness. The record on completed transactions since the first of the year is Number of trades – 48- 51 Number of Gains – 48 Total Points Profit 309-1/4 EDMUND W. TABELL SHIELDS & COMPANY May 17, 1945 Closing Dow-Jones Industrials ones Rails 165.20 56.12 The opinions expressed in this letter are the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Co.

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Tabell’s Market Letter – May 21, 1945

Tabell’s Market Letter – May 21, 1945

Tabell's Market Letter - May 21, 1945
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TECHNICAL MARKET ACTION During the past week, in a market featured by special issues, the industrial average gained 2 1/2 points. However, at the week's high of 166.75, the average was still below the May 7th high of 167.25. The rail average, which reached a high of 56.78 during the week, also failed to penetrate the April 30th high of 57.48. Monday's action, with both averages declining functionally, added nothing decisive to the pattern. The weakness in some commodities, notably rye and cotton, was rather disconserting, however. Still a lot the opinion that the 57.48 high on the rail average is the important point to watch for a further extension of the rise and that the May 11th low of 162.60 on the industrial average is the important point to watch on the downside. Until either one of these points is penetrated, see nothing but a selective trading range with moves in special situations. Two issues which show Exceedingly interesting technical patterns at the moment are American & Foreign Power 2nd pfd. and Consolidated Vultee. American Foreign Power 2nd closed at 27 on 1,10nday, a rise of 2 1/8 points on the day. In so doing, it penetrated both the 1943 and 1944 resistance levels, which have held back the issue for almost two years. Consolidated Vultee, which closed at 23 5/8 on Monday, also has a basically bullish formation. Advise purchase of both stock of with the general market in 0. rather uncertain stage, advise profit taking on two two other recommended issues that have moved up nicely percentagewise California Packing Campbell, Wyant & Cannon F.ECOMMENDED AT 27 19 3/8 MONDAY'S CLOSE 32 24 3/8 Use proceeds to purchase two issues recommended above. ,I.EDMUND TABELL SHIELDS & COMPANY May 21, 1945 Closing Dow-Jones Industrials Dow-Jones Hails 16'5.99 55.95 The opinions expressed in this letter are in the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company.

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Tabell’s Market Letter – May 24, 1945

Tabell’s Market Letter – May 24, 1945

Tabell's Market Letter - May 24, 1945
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TECHNICAL MARKET ACTION The market continues to fluctuate in a comparatively narrow trading range. As measured by the New York Times 50 stock average, composed of both industrials and rails, the limits are the 119.75 high reached on May 7th and the 116.35 low reached on May 11th. This range has held for over four weeks. Thursday's close was near the 118 level. A similar picture is presented by the Dow-Jones industrial average and the Dow-Jones rail average with highs of 167.25 and 57.48 and low points of 152.60 end 54.42. The longer the market remains in the trading shelf, the more important becomes the eventual breakout. A penetration should result in at least a five or six point move in the direction of the breakout. However, until either point is passed, there is no technical indication of the near term trend. From a trading viewpoint there are two courses open (1) Retain holdings in hope of an upside penetration but be willing to sell if the market penetrates the trading range on the downside. (2) Liquidate all holdings until the market picture becomes clearer. The writer advises a middle course, as far as trading commitments are concerned, and suggests further profit taking on a portion of recoIDL1ended holdings and the assumption of a 50 liquid position until technical pattern is clarified. This advise applies only to short term commitments. Still believe the long term trend is toward higher levels and that any reaction, when as and if it occurs, will be only temporary and relatively unimportant. Accordingly the sale of the following fifteen issues is recommended Allegheny Ludlum Bucyrus Erie Carpenter Steel Chicago Pneumatic Tool Columbia Pictures Eagle Picher Lead Fairbanks Morse Hercules Motors Interstate Dept. Stores Johns M81wille Kennecott Copper Mesta Machine Monsanto Chemical Shell Union Oil Walworth Thirteen show profits totalling 46 1/8 points, while two issues show losses totalling 3/4 of a point, based on Thursday's closes. The record on completed transactions since the first of the year, including the sale of the 15 issues suggested in this letter is – Number of Trades 66 Number of Gains 64 Number of Losses 2 Points Profit 371 3/8 Points Loss 3/4 Total Points Profit 370 5/S The issues retained are stocks which show either possibilities of a near term move or extremely bullish patterns over the longer term with no indications of a wide decline in event of a general market decline. For the time being, cancel all sales and buy orders previously recommended. EDMUND W. TABELL SHIELDS & COMPANY May 24, 1945 Closing Bow-Jones Industrials 164.41 Dow-Jones Rails 55.97 The opinions expressed in this letter are in the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Co.

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Tabell’s Market Letter – May 28, 1945

Tabell’s Market Letter – May 28, 1945

Tabell's Market Letter - May 28, 1945
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TECHNICAL MARKET ACTION All uncertainty as to the near term trend was dispelled on Monday when both the industrial and rail averages decisively penetrated the resistance levels which had held back the Market for the past several weeks. At Monday's close, the industrial average had penetrated the forever high of 167.25 by 1.95 points to close at 168.20, while the ralls bettered their previous high of April 30th by .81 to close at 58.29. The New York Times 50-stock combined average also reached a new high. Thus the secondary trend, which was doubtful, is again signalled as up. As to the major long tern trend, which has been up since April 1942, there has been no change other than to again confirm the uptrend which, in the writer's opinion, eventually indicates at least the 230-240 zone. Last week, the writer advised taking profits on a number of recommended issues and remaining 50 liquid until the technical pattern clarified itself by breaking out of the trading range in either direction. This advice, of course, applied only to short term trading commitments. Long term investors willing to disregard intermediate fluctuations, were to remain 100 invested as advised. The breakout of Monday indicates that the short trader can again enter the market with liquid funds. The temporary retirement may cost a point or two, but in following the technical aspects of the market, it is much safer to retire to the sidelines when the picture becomes temporarily uncertain. However, would wait for minor weakness before repurchasing. The industrial average has rallied 3.80 points in the last three days and after some further strength, a minor correction Would seen the normal procedure. Such a dip should be used for purchases. In the meantime, the 27 issues in the recol1unended list should be retained. May 28, 1945 EDMUND W. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials DOW-Jones Rails 168.21 58.29 The opinions expressed in this letter are in the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company.

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Tabell’s Market Letter – May 31, 1945

Tabell’s Market Letter – May 31, 1945

Tabell's Market Letter - May 31, 1945
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TECHNICAL MARKET ACTION After four days of advance, totalling 4.67 points in the industrial average, the market turned irregular on Thursday and closed fractionally lower. Such action is only normal after a sharp rise and, with volume indications favor- able, after some further irregularity would expect the advance to continue. However, expect the market to be extremely selective from here on. Would confine new purchases to issues that have not as yet shown wide price advances. ' t I The aircraft manufacturing group contains a number of issues that seem to fit into this category. In most cases, the stocks in this group are selling considerably below their 1938-1940 highs, and at present levels appear atttractive technically. Three stocks in the group, Consolidated Vultee, Grumman and Republic Aviation are part of the-recommended purchase list. These three issues and others in the group are reviewed-below. Aviation Corp. c', . , Reached high of 8 3/8 in 1940 and 9 1/2 in 1939. Present price 7 5/8. Has long-bane pattern. Selling at 10 would indicate at least the 20 May require considerable patience, but if basic pattern –works out could show tremendous percentage appreciation Beech Aircraft ….,One of few issues in the group that has sold abo'te its 1940 high. Reached 11 5/8 in '1940 and 15 1/2 in 1943. At present level of 10 1/ the stock seems well deflated. Good support level at 10-9 area. Bell Aircraft – Sold at 37 1/4 in 1939-38. Has formed interesting technical pattern with a long term uptrend' indicated if 21 is reached. At present price .of 16 3/8, the stock looks attractive. Boeing Airplane – a high of 49 3/4 in the late 1930s. Present price is 21 3/8. Has formed a. very lnrge base pattern. Selling at 25 would be a very bullish signal. advised on dips or on penetration to 25. Consolidated Vultee Aircraft – Another issue which has sold above its early war high. Old Consolidated Aircraft, prior to merger with Vultee, sold at 50 3/8 in 1941. This is equivalent to a little over 25 Of the present issue, which is the result of a two for one split. Penetration of old high would be of considerable bullish significance. Present price is 21 3/4. Curtiss-Wright – 1940 high .TaS 11 3/8. Present price 6. \-nile issue llPpears Vlell deflated, its technical pattern is not as interesting as other issues .in the group Douglas Aircraft – 1940 high was 947/8. Now selling at 79 7/. Due to high price, has not as much speculative appeal as lower priced issues. However, technical is favorable und stock should be bought on minor price dips. Heavy support level in 75-70 area. Grumman Aircraft – At present price of 36, is selling considerably above the 1940 high of 25 3/8. However, technically, the stock still points higher. Buy on minor weakness. Lockheed Aircraft – 1940 high was 41 7/8. Present price 23 3/8. Has long base pattern that Vlould a sizeable rru.ly if 26 were reached. Would advise purchase on dips or on penetration to 26. Martin (Glenn L.)- Reached 47 3/4 in 1940 as against present level of 24 5/8. However, pattern is not as clear as other issues in the group; North American Aviation – Selling closer to low than P.ny other issue in group. 1944 1011 ViaS 7 5 '6 against high of 10 3/8 in 1939-38. Present price 24. However, here again pattern is not clear. Prefer other issues in group. Republic Aviation – The most attractive low priced issue in the group. Stock has made new high this year, but technical pattern still attractive. Present price is 8 5/8. United Aircraft – Other issues in group more attractive technically. 1940 high 53 3/8. Present price 28 1/4. , EDMUND W. TABELL . . SHIELDS & COMP/INY May 31, 1945 Closing DOW-Jones Industrials – 168.30 The expressed in this letter in the personal interpretation of charts by Mr. Edmund W. Tabell and are not as the opinions of Shields & Company.

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