View Text Version (OCR)
Technical Market Action The decline continued on Wednesday and the industrial average closed at a new 10Vi' of J.63.12, 0.ovm (1 22 compared with the 80ptember 10Vi closing of 165.17. The Sptemb(;r intra.day low of L64.09 rIll.S alsc pen9tre.ted at slow ef 162.80. Th. rail !lVOregb 111so clos(;0. at a 'lew 10Vl at 1.4.69, dOHn comparGd with tj',e September low closing of 45.69. The intra- dey low \IUS 44.50 IIhile til(; Sept.eL\ber low lveS 1,.4.76. Volume increftGed to 2,020,000 shares. Wednesday' ,,ctiOll suggests b. declir.e to t!1c oftm ment.ioned 10'/-100 area in the Ne; Times average. While \'!ednesday's closing is not availa!le at present I.Titing, believe t.i1e avercge closed firOlmc J.09-110. A compamble figure is 112-110 in the Herald-Tribune avcrllf.e hich believe closod around 116. i, compareble fj gure in he Ilol'!-Jones indJstr.al aVErat;e would be around 'rhes fi;uro8 arc the top count indications of the n1,ire FebruurJ to r,!ay dist.ribution period. In'li vidual issues sho a Sl.muar pat.tern. ,\ gr6rtt ,Jony have reached t.heir dormsido objectives. j, list, of these objectives or Ollying r('s was listed earl;, in Septon,br. A study of thE' list. 11111 shm thpt -Lhe majori. t.y liuvE' hold lilt thin tl,e) aonfincs of obj ecti.vfJ levels. Other indi- vidual. issues suggest some'fhat lower prices Dnd declines in these issues, while otlJrs aro holdin!s, could carry the averages do;m to the figures INmtiolled above. \'iould usc, further 'IIcamess into the 112-110 anon of the Hemld- Tribune or 107-100 in Nev, York nmes everage, to buy issups mentioned, togtlther Vlith their buying ranr.;or, in lett.ers. The decline C'f Wednesdc..'1 wal the sixth successi'e d,W of ,',eli., anu the nint.h out of thE tEn past trading days. Early wealmess on 'l'hursrl,l,\' could be foJ.loHed by at. lRst a technical rally. outsta.1ding indi.vidual issures suegt'st I.nerican Rolling Mills, Doehler-J..T'vis and Revre Copper .f t.h( averages rch t.he 2.bove mentioned areas. October 9, 1946 EDiAUN D i TABELL SHIELDS & CO;,lPAl'IY l l i l.. ! l . DoV/-J Olle S Industrials D017-J OnE'S RailS Dow-Jones 65-Stock 163.12 44.69 58.53 The opinions pressed in this letter ere the personal interpretation of charts by Mr. Edmund W. Tebel! end ate not pres,,'nted as the opinions of Shields & Company.