Tabell’s Market Letter – February 03, 1947

Technical Market Action The rails Vlere strong on Monday and at the days high of 52.47were close t'i the December high of 52.96. The close was.'52.06,up 59 cents on the day .,!,bility of the rail average to follow thE; industrials into neVi high terri tory would be an extrmely constructive developnent. If the rails are able to reah the 55 level, technical indications point to the 58-60 zone a,s the first real resistance area, Individual rail issues have mlilt up sizeable base patterns and several have, been consistently; 'l'ecorumended in this letter for purchase on price weakness ' over the past four months. Some issues show better technical patterns than others and inicate rally possibilities of 50 to 'almost 100 above present levels. Some have possibly anticipated an upside penetration of the average and have already broken out 'of their individual trading ranges. Most of the 'railroad issues are listed below with their 1846-47 price r'l.Jlge together with their intermediate t(;rm price objectives if upside resistance is penetrated. In cases where this has already occurred, the issue is marked Vii til an asterisk. It .-lill be noted that price objectives, in some cases, are somev/hat higher than those listed in our general compilation of January 50th. This is bcause we arc taking a slightly longer term view in thi instance and are ignoring temporary nearer term resistance levels. 194 7 High Low Alleghany Corp. 8 1/4 3 5/8 Alleghany Corp. pfd. f,9 1/4 29 3/4 Atchison,Top. & S.F. Atlantic Coast Line Baltimore & Ohio Baltiinore & OhiO, pfd. 121 78 83 45 50 1/4 11 \ 47 1/4 18 1/2 Canadian Pacific 22 7/8 11 5/4 Chesapeake & Ohio 66 7/8 48 5/4 Chicago &,East.Il1inois 18 1/2 4 7/8 Chicago & EastIll. A 26 1/8 9 5/8 Chicago & Gt.West pfd.A 55 5/8 11 1/4 Chicago,Ind. &St.Louis A 15 5/4 7 Chicago,ul.St.P & Pac. 56 1/2 11 Chicago,Mil.St.P & P.pfd. 82 1/4 30 3/4 Chicago & Northwest 45 1/2 15 5/8 Cl)icago & llorthwest, pfd. 76 7/8 54 1/2 Delaware, Lack & West. Eric R.It, ' 16 1/4 6 3/8 23 1/8 9 1/2 Great Northern, pfd. 64 401/2 Gulf,Mobile & Ohio 50 1/4 9 1/2 Gulf,Mobile & Ohio,pfd. 78 7/8 31 1/4 Illinois entral Kansas City Southen 45 1/2 18 1/8 40 1/4 18 3/4 Louisville & Nashville 72 1/4 45 5/8 Minn.St.Paul & S.S.Marie A 26 3/8' S 3/4 M.K.'l'.pfd. 52 19 New York Central 55 3/4 13 7/8 Nev. York,Chic, & St.L. 61 1/4 26 New York,Chic.& St.L.pfd. 155 79 Norfolk & Western Northern Pacific Pennsyivania R.R. 288 1/2 223 56 16 3/8 47 1/2 25 Reading Seaboard Seaboard, pfd. Southern Pacific Southern Railway Texas & Pacific Western Maryland 55 5/8 57 5/4 77 5/4 70 65 65 15 1/8 16 5/4 16 5/8 42 58 1/4 35 55 5 1/8 Western Maryland, pfd. 52 3/4 14 Western Pacific 56 1/2 27 Upside Penetration u5- 95 57 18 26 15 57 9 14 17 12 17 52 24 54 9 14 52 16 49 28 29 55 15 27 20 1f 40 106 245 24 50 24 25 55 50 45 51 8 18 ;f 58 if Rally Ob,j ective 8 65-67 134-156 71-84 25-27 59-49 18 65-75 11-14 21 24-26 16-21 25 68-72 41-46 71-87 15t-17 19-21 85-85 24-26 67-70 46-55 40-54 76 19-23 40-45 23-26 57-60 168 280-290 55-59 57-59 34-56 41 77 73-80 74-78 77-80 12-14 22 48-55 Last Sale 5 5/ 42 1/4 95 54 1/2 16 1/4 24 1/4 14 1/4 52 1/8 7 1/4 12 5/8 i5 1/4 10 15 7/8 58 24 5/8 50 1/4 10 3/8 12 5/8 49 1/4 14 3/8 48 27 7/8 27 5/4 51 5/8 12 7/8 24 5/8 21 5/4 55 99 255 20 3/4 26 3/4 21 21 1/4 50 44 7/8 46 1/2 55 1/4 7 5/4 17 7/8 26 7/8 EDMUND Vi. TABELL February 3, 1947 SHIELDS & COMPANY Closing Dov;-Jones Indusbrials 181.92 Dow-Jones Rails 52.06 DOfl-Jones 65-Stock 65.97 Th. opinion, ellpr.uecl In this I.tter ere the personal interpretation of ch.rts by Mr. Edmund W. Teb.n and ere not presented as the opinions of Shield, & Company. ….. ,