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Technical Market Action The market for the seventh successive day on Thursday. On the basis of cloling prices, the industrials have regained 7.04 poi.nts ot' approximntcly 40 of tIle 17.28 point drop from the May high of 212.50 to lc.st week's low of 195.22. Comparable figures on th' rv.ils are 1.89 points or npproxi;,l!ltely 24 of 7.90 point drop fr'om the Mcy high of 68.31 to the recent low of 60.41. The utilities have regained 1.91 or approximately 46 of the 4.11 point drop from 4.3.74 to 39.63. So far, i t is quite eVident that the c.ctinn of the rail average he.s not been as favorable as the.t of the other tV/o averLCges. For the nenr term, .;ould expect nt J ec.st a mjnor sell-off from these levels cnd possibJy c testing of last week's lows. Several recommended issues shown good technical action in th recent sell-off. iunerice.n Steel Found.ries held obove the 40 level, at which point there 1.0 good 00wnside resiste.nce. Thursdw's close oms 44. Advise purchc.se OD soft spots. Delaware & Hudson also held at th.) 42 support le.,el. This issue is down sharply from thE. bte 1945 hi!Oh of 57 1/2. Since the beginnin,; of the yec.r it hall hcld in n trading ronge be. tween roughly 50 and 38 Vii til most of the Iork in the 1JJ-42 mnge. J,n upside emerGence '.ould inMcntc much higher levels. watch the issue olosely. Also like the action of ThL stock is down from the 30 1/8 hiGh pnd at 26-24 vlould appem' to be in n buying range. Long term techniccl pc,ttern jndic' tes much hiGhGr levels eventually. Sunshine Mining also has n very interesting technic2.1 pattern. On the last reaction, support \'S evident at the old 18 resist.nce level. The pattern, if 18 holes, indicates re-nccumulation. Th( stock sold above 20 on Thursday compared wi.th the 191.6 hj;;h of 24. August 1, 1946 EDMUND W. TABELL SHIELDS & COMPANY Closing DO\v-Jones Industrials . Dow-Jones Hnils DOVi-Jones 65-Stock 202.26 62.30 74.85 me opinions expressed in this letter ere the personal interpretation of charts by Mr. Edmund W. Tabell end are not presented as the opinions of Shiekls & Company.