Technical Market Action At its closing price of 18 1/4, Eastern Air Lines, from a technical viewpoint, appears to be an interesting speculation. The distributional pattern built up in early 1946 at around 55, indicated a reaction to the 19-17 level. The low reached in the October decline was 16 1/8. After further backing and filling, the stock reached a high of 2,4 1/4 in early April. A small top area was built up during that perio in the 24-25 level indicating a dip to 18. The May 10Vl was 17 1/4. The subsequent rally carried Eastern Air Lines back to above 20. The news of the plane crash last week-end brought the stock back to 18 1/4. This price was reached again on Wednes6ay's close. It will be noted that, so far, the stock has met support at successively higher levels. This fact, coupled with the substantial base pattern around the 18 level, would indicate that speculative purchases of this financially strongest airline appear warranted. Pepsi-Cola, at Wednesday's low of 28 1/2 and closing at 28 5/4, appears to have hau a sufficient correction of the 5 5/8 advance from 25 1/4 to 50 5/8. Purchase is adVised in the 28-29 area. Would also add to commitments in Cities Service, National Supply and Westinghouse Electric in periods of market weekness. After reaching a high of 171.55 on Wednesday, the market reacted in the final hour ano closed 79 cents lower on the day at 169.56. Volume for the day was 820,000 shares with a turnover of 270,000 shares in the final hour sell-off. The final hour sell-off volume just about coincides with the 260,000 share turnover in the final hour rally of Tuesday. The 175 level continues to be the important upside resistance pOint. Further backing and filling and irregularity could take place before a decisive penetration of this very important technical level occurs. As mentioned earlier in the week, short term traders might lighten commitments as the 175 level is approached, as on Wednesday, provided they are willing to re-enter the market on an upside penetration of that level. June 4, 1947 EDMUND Ii. TABELL SHIELDS & COMPANY CloSings Dow-Jones Industrials Dow-Jones Rails Dow-Jones 65-Stock 169.56 45.57 59.71 The ophtlens p,tllHd in this I.-H., fllre the penon. int.rpretation of cham by ,. Edmund W. f.b.U end .,. not pres.nted ., th. opintOM of Shl.1d. .. Compe,. -1

Technical Market Action In a letter dated April 24th, we drew attention to the better-than- market action of the oil stocks and advised their purchase during periods of market weakness. We particularly mentioned Gul! Oil at 60 and Standard Oil of New Jersev at 66 5/8 in the higher priced group, Ohio Oil a 25 and Pure Oil at 25 7/8 in the lower priced field and in the more speculative group, Houston Oil at 20 1/2 and Texafl Pacific Coal & Oi.l at 29. In the subsequent May decline, these icsues continued their better-than-market action and held above previous lows. In the past two Ieeks, the oils have beE among the market leaders and Gulf Oil and Standard of New Jersey reached new high territory for 1947. Monday's closing prices were – Gulf Oil 64t, Standard of New Jersey 75 1/4, Ohio Oil 22 7/8, Pure On 25 7/8, Houston Oil 21 5/4, and Texas Pacific Coal & Oil 29 1/2. Believe these issues indicate higher levels and advise their jJurt!hase in periods of market vleakness;l' Cities Service, another recent recommendation, also belongs in the oil group. After disposal of public utility properties, it will be an oil and natural gas company. At HE present price of 50 3/4, it appMrs very conservatively valued. Its purchc.se is advised on soft spots together with National Supply, wMch,as an oil field equi)ment issue, should also participate in favorable outlook for the petroleum group. Another issue with a favorable technical pattern is Shamrock Oil & Gas. This cor.tpany, ovmer of extensive oil and gas properties, has increased the dividend rate to 30 cents quarterly. A substantial base pattern has been built up in the 21-25 area 3nd an upside penetration would indicate hieher levels. The market continues dull and irregular. The important upside resistance is around the 175 level. Pending penetrat.ion of that important level, would expect irregularity and a possible testing of recent loVl levels. Advise trading purchases on sell-offs or on penetration of the 173 Jevel. June 9, 1947 EDMUND Ii. TABELL SHIELDS & COMPANY Closings Dow-Jones Industrials DoV/-Jones Rlils Dow-Jones 65-Stock 169.88 45.25 59.68 TIt. opln;on, apreued in this letter er. tM persone.i interpretation of cham by T.b.nMr. edMund W. end .r. not presented ., tl,. opinions of Shl.ld… Compcay.

Technical Market Action The industrial average penetrated the 175 level and technically indicates an important change in the trend. The technical patterns of a number of investment trust issues seem to bear out our oft-repeated assertion since September 1946 that the 170-160 level was a long term buying range. For example, AdamS Express, a large trust with diversified holdinbs, indicated a decline to 15 from its distributional area built up around 24-22 in early 1946. The October low was 15 1/8 and this exact point was again reached last month. Wednesday's closing was 14 7/8. A substantial base pattern has been built up in the 14-18 area. An upside penetration would give a rally indication above the 1946 hih of 24 5/4. A similar pattern is to be in U. S. & Foreign Securities. Its 1946 distributional area indicated a downside objective of 16. The October low was 15 1/2 and 15 5/8 was reached last month. Again a substantial base pattern has been built up in the 16-21 range with an eventual rally indication above the 1946 high of 32 1/2 if an upside penetration occurs. Wednesday's close was 18 1/2. Still a third example is Atlas Corporation, a special Situation investment trust. The downside objective of 23-21 was reached in October at 22 1/2 and in May at 21 5/8. The base built up between 23 and 25 suggests a higher price level than 1946 high of 54 5/6 if an upside penetration occurs. Last sale was 25 1/2. All three of these issues are .suggested for purchase by those who prefer to buy a cross section of the market rather than select individual issues. In the case of Atlas Corporation, the warrants listed on the Cur could show greater percentage appreciation. The 1946-1947 range is 15 high and 5 5/8 low. '/ednesday's close was 5 1/4. Several recently recommended issues reached new high ground for 1947 in \iednesday's strong market. Included in this group were Standard Oil of New Jersey, Gulf Oil, Cities SerVice and National Supply. Others such as Westinghouse Electric and Pepsi-Cola were very near to the 1947 highs. While market leaders spearheaded the upmove on Wednesday, it would be logical to expect some of the secondary issues to come into the picture shortly. Two such issues are Evans Products and Houdaille Hersbey. Evans Products has been meeting support at progressively higher levels since October. The 1946 low of 15 1/4 just about reached the downside objective of 15 outlined by the distribution area around the 55-50 level early in 1946. The 1947 low was 18 and Wednesday's closing 21 5/8. A. sufficient base area has been built up to indicate substantially higher levels. This loading equipment issue showed earnings of 4i2.58 in the first Ciuarter. Houdaille Hershey in the auto accessory field also has a good technical pattern. Vlhile the October low of 12 1/2 did not quite reach the indicated down- side objective of 11, the large base formed in 14-18 area and the fact that the May lOVI, at 15 1/4, held above the previous low, makes he issue worthy of consideration. An upside penetration would indicate levelS considerably above the 1946 high of 28 5/8. Wednesday's rally to 174.68 in the industrials, up 5.58 on the day, broke the downtrend lines from both the May 1946 high and February 1947 high. It also penetrated the important 200-day moving average on the upside. The rail average also joined in the advance to close 1.29 higher at 44.71. Such action indicates, in my opinion, a breaking of the downtrend and the start of an important upswing from the huge 170-160 accumulation area. Obviously, the advance will be punctuated by reactions but such occasions should be used to add to hold- ings. l!DMUND l'i. TABELL June 11, 1947 SHIELDS & COMPANY Closing Dow-Jones Industrials 174.68 Dow-Jones Rails 44.71 Tho opinion. dlfIeS.is6litt.'lI!.. ponon.1 inter of chorb by Mr. Edmund W. rabell and .re not presented al the opinions of Shield, I. Company

Technical Market Action The automobile aecessoy issues have, in most instances, potentially favorable technical patterns. One of the issues in the group, Houdaille Hershey, was recommended in last week's letter and has rallied mederate- ly to close at 15 3/4 on Monday. Borg-Warner Corp. also presents an excellent chart pattern. In addition to he manufacure of auomotive parts, which accounts for approximately 60 of business, the company also, manufactures household appliances, specialty steels, and parts for agricultural machinery, power transmission and aviation, The stock reached a high of 61 3/4 in 1946 and reacted to 36 in the October decline. The May low was 37 5/8 and Mondays close was 44. A large potential base pattern has been built up over the past nine months. A rally above the February high of 49 1/2 would have considerable technical significance and indicate considerably higher price levels. Consider Borg-Warner in the better grade claseification and Houdaille Hershey in the more speculative category, as representative issues in 'he attractive auto accessory group. Purchase is recommended in periods of price irregulariy. Also, like the technical action of E. W. Bliss. The stock of this heqvy machinery company has been mentioned several times in this letter. It has been strong recently and, at Mondays closing of 24, the stock is quite near the 1947 bigh of 26 3/8. A large potential base pattern has been built up between roughly 19 and 26 and an upside penetration would indicate much higher levels over the longer term. First quarter earnings were 2.01 a share. The technical pettern is excellent and purchase of E. W. Bliss is recommended on minor declines. The industrial average reached a new high on the move on Monday at 177.23, but eased off toward the close to end the day at 175.81. Consider the 177-180 area as temporary minor resistance. After some further strength would be inclined to look for a slight dip into the 175-173 1/2 range. After further backing and filling would then look for substantially higher levels. June 16, 1947 EDMUND W. TABELL SHIELDS & COMPANY CLOSING Dow-Jones Industrials Dow-Jones Rails DowJones 65-Stock 175.81 45.20 61.86 The opinions ezpred in this letter .,. the personal interpretation of ch.rts by Mr. Edmurtd W. Tebetl .nef ere not presented al the optnioM of Shl.td, Comp.ny.

Technical Market Action The selection of stocks that viII perform better than the market is, of course, always of prime importance. However, in the forthcoming rise, the ability to select the right issues may become increasingly important. Since the September decline, the market has shown extreme selectivity and would expect that such action will continue as the market advances. Not only will it be important to select the right group, but it viII be important to select the right issue in the right group. A perusal of the technical patterns of over a thousand individual issues shows an amazing lack of uniformity witp individual issues in various stages of advancing or declining phases. For example, Westinghouse Electri was recommended at 25 5/8 on May 28, General Electric, in the same industry group, closed at 34 1/8 on the seme day. Westinghouse Electric has moved ahead nicely and closed at 28 1/4 on Monday. This price is only half a point below the years high of 28 3/4 and 5 3/4 points above the years low of 22 1/2. On the other hand, General Electric, has done little marketwise. The closing on Monday was 35. At this price, it was still 4 -7/8-polnts below the 1947 high of 39 7/8 and only 3 points above the 1947 low of 32. On May 28th, the technical pattern of Westinghouse Electric was much more favorable than that of General Electric. That also is the indication at the present time. Another interesting situation is found in comparing the techniCal patterns of Anaconda, Kennecott and Phelps Dodge, the three leading issues in the copper group. The patterns are quite different. Anaconda Copper reached a high of 51 7/8 in February 1947. A sizeable distribution area was built up in the 50-44 range which indicated an eventual decline to the 31-29 area, when the area Wes penetrated on the downside. The October decline brought Anaconda down to 35. The subsequent rally brought the stock back to 42 in Manch 1947. However,the stock declined to a new low in April and continued its decline 1n May to reach a low of 30 7/8. Mondays clOSing Was 33 1/2. While Anaconda has most likely reached or about reached its low point, it would seem that further backing and filling in a comparatively restricted range is needed to form a base pattern, before an important upside move occurs. The technical patteIflof Kennecott Copper is relatively better. Kennecott reached a high of 60 1/4 in March 1946. The distributionalarea built up in-the 60- 55 area, indicated an eventual decline to 43-39. This area was reaChed in September with a low of 41. The subsequent rally carried back to 52 1/2 in the early part of 1947. Unlike Anaconda, however, Kennecott held above its September low in last months decline and reached a low of only 41 1/4. Mondays close was 43 3/8. Kenne- orcott has built up a sizeable potential base pattern and a penetration the early 1947 high would indicate substantially higher levels. The technical pattern of Phelps Dodge is again quite different from the other two issues in the same general group. It is the most dynamic of the three patterns. Its 1946 high of 48 was reached in May. Its distributional pattern was quite irregular and its downside implications were not very clear with one formation indicating 34 and another 26. The actual low was 29 3/4, reached in October. Since that time, its technical action has been good. The stock rallied back to 43 3/4 in February and on three occasions during the year, has held above the 36 level or over six points above its October low. If this level holds, the base pattern indicates a I SUbstantial rise to considerabl, above the previous highs. Mondays clOSing was 38. The conclusions to be drawn from these three diverse technical formations of \ three stocks in the same group indicates that Anaconda has the least favorable pat-i tern with.no imlDediats,move ofimportance indicated,–thatcKennecott has potential-. ly favorable pettbern and eem in a mora adVanced stage th Anaconda, but may not have an appreb1a 'Le move in the immediate future, that Phelps DOdfe has the most dynamic pattern and is in the most advanced stsge of the teChnics development. The longer the 36 level holds the more dynamic the pattern becomes. A penetration of the 1947 high would indicate a confirmation of the potentially bullish formation The lower part of the level continues to be a temporary barrier to the advance. The market has now reced into the 175-173 1/2 support level and would expect that area to hold with an outside possibility of a further dip to l72. June 18, 1947 it …. /…. .!Jf.'! J.S9;. -.\'f-.-t F,f.I.J… EDMUND W. TABELL SHIELDS & COMPANY . ….. CLOSING S r-y 1 Dov-Jones Industrials Dow-Jones Rails Dow-Jones 65-stock 174.94 45.29 61.70 n. oplniOftl pralSed in this letter ate the penonel interpretation of charts by ,. Edmund W. labell and are not presented as the opinions of Shield. I Company. – —

Technical Market Action Colorado Fuel & Iron presents an attractive technical pattern. Since its merger with Wickwire Spencer Steel in 1945, company has two main divisions. The original western property is the largest steel producer west of the Mississippi with steel rails the main product. The Eastern or Wickwire division produces steel wire and rope and hardware products. From a high of 23 3/4 in early 1946, Colorado Fuel & Iron common stock reacted to a low of 10 1/4 in October. That price has been the law of the decline. The stock rallied to a high of 16 3/4 in March 1947. The May decline carried Colorado Fuel back to 12, a point and a quarter above the 1946 law. Since that time the stock has rallied back to above 14 and Mondays close was 14 1/4. Colorado Fuel appears to be in an Uptrend. This would be confirmed by its ability to penetrate the previous 1947 high of 16 3/4. In that event, an eventual price level substantially above the 1946 high of 23 3/4 would be indicated. Advise purchase of Colorado Fuel &Iron in periods of price weakness. The industrial average reacheA a new high for the move on Monday at 17SOS. The closing price was 177.44. The market has reaChed the 177-lS0 which we have mentioned as a possible temporary halting place. Would not be inclined to follow strength at this juncture. In fact, trading accounts might take some profits on a further possible rally. After all, the market has advanced over 16 points in five weeks without any sizeable corrction. However believe the market is eventually headed much higher and any reaction will be only corrective in nature. Would expect a decline to halt around the 175-174 level after a possible rally to ISO. June 23, 1947 EDMUND W. TABELL SHIEWS & COMPANY CLOSING Dow-Jones Industrials Dow Jones Rails Daw-Jones 65-Stock 177.44 46.42 62.76 Th. opinions .,pre.ad in thi. letter a,. the penon,,' interpretation of cham by Mr Edmund W. Tab.1I and are not prnted fli the opinion. of Shield. Company.

Technical Market Action In checking over,our letters since September 1, we discover that since that time we have mentioned a great many individual issues for pur- chase. The approximate number is 132. Most of these were recommended in our four letters of September 9th to September 12th when we stated that we believed the low of the market would be reached somewhere between 170 and the top of the late 1937-1942 accumulation rangE! which was 160-157. We have continued to maintain that opinion for the past nine months. However, between September 9th and September 12th we listed buying ranges for over 100 individual issues, the majority of those buying ranges were reached in the September-October decline. Other individual issues were recommended over the past nine months. Most of the early recommendations were made on the basis of the indicated downside objectives from the large distribution area of early 1946. The majority of the downside objectives and buying ranges were quite accurate and stocks were purchased at or firly close to their lows. In the past nine months, it appears that the market as a whole and individual issues in part have built up large base patterns. It is now possible to ascertain Which issues have built up the largest base patterns and therefore indicate the greatest possibility of price appreciation. We have listed below the stocks which appear most 'attractive in the list of 132 formerly recommended. The list comprises a little over 60 stocks and we suggest selling the issues not listed and switching into those listed below. Suggest selling now, but awaiting weakness for purchase. The list follows Adams Express, American Cyanamid, American Power & Light, American Metal Co., American Wster Works, Atlas Corp., Barnsdall Oil, E. W. Bliss & Co., Borg Warner, Campbell Wyant & Cannon, Chicago, Northwest, Chrysler, Cities Service, Colorado Fuel, Crane Co., Crown Cork &Seal, Deere & Co., Doehler- Jarvis Die Casting Corporation, EaglPicher Co., Eastern Airlines, Electric Auto Lite Co, Electric Power & Light, Evans Products, Flintkote Co., General Cable Corp., General Motors, General Railway Signal, Gulf Oil, Houdaille Hershey, Houston Oil, Howe Sound, Illinois Central, Interlake Irori, International Mineral, Jones & Laughlin, Libbey-Owens-Ford, Murray Corp., National Supply, Ohio Oil, Oliver Corp., Pepsi-Cola, Pure'Oil, Rayonier, Revere Copper, Seaboard Airline, Seaboard Oil, Shamrock Oil, Sharon Steel, Simmons, Standard Oil of N. J., Standard Gas 4 Pfd., Texas Pacific Coal & Oil, Union Bag & Paper, U. S. & Foreign Securit- ies, U. S. Pipe, U. S. Steel, Westinghouse Air Brake, Westinhouse Electric, Wheeling Steel, Youngstown Sheet & Tube. We consider this as our recommended list and advocate purchase of these issues during periods of technical correction. Each individual issue will be reviewed in subsequent bulletins. We have suggested over the past week, a corrective reaction to the 175-174 area. This objective was reached on Wednesday when the average hit an intra-day low of 173.93. The market then rallied to reach a high of 177.20 on Friday. However, would not be inclined to follow strength at this phase of the market. The market appears to be headed toward substantially higher levels over the next few months, but for the time being several of our technical indicators point to a temporarily overbought position. This situation could be corrected in one of two ways. One possibility is a further technical correction to re/trace about one-third to one-half of the approximately 16 point rally from the May lows. This would bring the average down to the 172 1/2 – 170 area. The second possibility is a longer consolidation period in the 174-178 area. Which of these possibilities may eventually occur is not certain, but would temporarily withhold trading purchases until the pattern becomes clearer. There is no change in the longer term pattern which indicates higher levels in selected issues over the intermediate term. EDMUND W. TABELL June 27, 1947 Q1QING Dow-Jones Industrials Dow-J ones Rails Dow-Jones 65-Stock SHIEIDS & COMPANY 176.56 46.02 61.70 Th. opinion. e.p,..Slod in this J.tte, at. the p.non jnt.,pret.tion of cMtts by Mr. Edmund W. Tabel! and are not presented es the opinions of ShI.ld. I Com,.ny. \ , \I

Technical Market Action Cltles Service has shown excellent market action since it was recommended for purchase in our ietter of May 21st at 28 1/4. Tuesdays high and closing price was 39 3/8. The stock has now reached a minor resistance area and since the pace of the advance has been rapid, a short termrorrection might be expected from around these levels. However, the eventual technical indication is a price objective in the 50-60 area. Would buy on minor diPS Adams Express, recommended in our letter of June 11, at 14 7/8, has moved ahead slowly in line with the market averages. Tuesdays close was 16. Adams has made a double bottom pattern with lows of 13 1/8 for both the October and May decline. A substantial base pattern has been built up in the 14-18 area, and an upside penetration would indicae an ultimate level above the 1946 high of 24 3/4. Would buy in periods of market irregularity. Since the expiration of the rights last week, American CYanamid has rallied from around 40 to 45 3/4. Tuesdays close was 45 1/2. After American Cyanamid reached its downside objective of around 41 in October and formed a sizeable base pattern, purchase of the stock was recommended on Novem- ber 1st st 47. Subsequently the stock reached a high of 55 in December. The stock held in the 45-50 range during most of 1947 until the recent issuance of rights caused a dip to a new low of 40. A tremendous potential base pattern has been built up in 40-55 area. Over the nearer term, temporary resistance will be met in the 46-49 area, but consider American Cyanamid an attractive pur- chase in periods of market irregularity. Tuesdays market was strong and active and the industrial average gained 3.03 to close at 180.33, a new high since February. The rails gained 1.11 at 46.99. The action of the market is extremely impressive and bears out our opinion that the intermediate term rally will eventually carry above the 185 high of February to the 196-201 level. HoWever, for the nearer term, would be cautious about new buying at this level. The market, at Tuesdays high of 180.42, had slightly surpassed our short term rally objective of 177-180. However, the territory between here and 185 may be temporarily difficult to penetrate. Even though intermediate term objective is much higher, would await a technical correction before adding to holdings purchased in our long term 170-160 buying area. Any corrective reaction at the moment should halt in the 175-172 area. EDMUND W. TABEIl. July I, 1947 SHIEWS & COMPANY CLOSING Dow-Jones Industrials Dow Jones Rails Dow-Jones 65-Stook 180.33 46.99 63.66 Th. opinions expressed 1n this letter are the personal interpretation of cham by Mr Edmund W. T.b.n and ere not presented 811 the opinions of Shi.ld, l Company.

Technical Market Action Continuing our alphabetical review of recommended issues brings us to American Metal Co. which was recommended in our letter of September 9th for purchase in the 26-23 area. This zone was reached in the October decline with a low of 23 3/8. The stock rallied to reach a high of 32 in the February rally. The May decline carried back to 25 3/4. Mondaya close was 29 1/8. A sizeable base pattern has been built up in the 24-32 area. The upside penetration of this area would indicate an eventual price objective above the 1946 high of 43 5/8. Purchase is recommended during periods of market weakness. American Power & Light was recommended for purchase, on soft spots, in our letter of April 30th. The closing price on that date was 12 5/8. The May decline carried the issue down to 9 1/8 and it has slowly recovered to 12. Mondays close was 11 7/8. While the May low \olas below the October low of 10 1/8, the stock appears to have built up an irregular base pattern. The validity of the pattern would be confirmed by a penetration of the 1947 high of 16 3/4. In that event a level above the 1946 high of 22 1/2 would be indicated. Would add to committments on minor weakness. Atlas CO!E. was recommended in our letter of June 11th at 23 1/2. This special situation investment trust closed at 26 1/8 on Monday, a new high for the year. The warrants, listed on the N. Y. Curb also, reached a new high at 6 1/4. Ability of Atlas to successfully penetrate the up- side of the long 23-25 base area is extremely constructive marketwise and indi- cates the possibility, technically, of an ultimate price objective of around the 40 level. Obviously this will take time. The 1946 highs of the common and warrants were 34 318 an 13. Add to committments on botk issues on minor price weakness. ' Barnsdall Oil was recommended in our letter of September 9th in the 21-19 range. The low was 20 3/4. A large base pattern was subsequenly formed in the 25-21 area. This base pattern was penetrated on the upside recently and the ultimate indication is the 41-45 area. Barnsdall made a new high on Monday at 28 3/8 and closed at 28 1/8. Add to committments during periods of technical correction. The market reached new high territory for the move on Monday, At the intra-day high of 182.61 for the industrials, the average was only 2.35 below the February high of 184.96. The rails, at 48.70, were 4.95 below the comparable high of 53.65. Believe the February high in the industrials will be penetrated and the average will reach 196-201 over the intermediate term. The rail pattern is more irregular and would hesitate to mention a technical price objective in this average, other than to say the average looks higher over the intermediate term. However, the pace of the advance has been extremely rapid. From the May 19th lows of 161.38 and 40.43, the averages have rallied 21.23 and 8.27 respectively, without any worthwhile correction. In fact, the first leg of the advance has carried further than we anticipated. Our objective was 180177. Would expect a minor dip before the industrial average penetrates the February high. However, fue market shows excellent basic strength and would expect such a correction to be relatively unimportant with possibly 177-175 as a correctional objective. Would await a dip before adding to committments. EDMUND W. TABELL July 7, 1947 SHIELDS & COMPANY DOW-JONES Industrials DOHJONES Rails DOW-JONES 65 STOCK 182.04 48.25 64.62 The opiaions eap,…ed 1n this lett.r are the personal interpretation of ciMm by Mr. Edmund W. T.bell end are not presented .1 the opinions of Shi.ld, I Company.

Technical Market Action American Water Works reached a high of 28 3/4 in 1946 and reacted to a low of 13 5/8 in the October decline. The February rally carried back to 18 7/8. The stock was mentioned in our letter of March 18th as having a favorable technical pattern when it was selling at 17 1/2. The May decline carried American Water Iorks down to 12 and it has recently rallied back to the 16 level. The chart pattern is still favorable and would add to holdings on a dip back to around 14. range. Wednesdays close was 15 1/2. E. W. Bliss has been recommended for purchase several times. The original recommendation was in our letter of September 9th when we advised buying in the 20-18 range. The low was 18 1/4. Purchase was again recommended on May 12th at 20 1/4 and again on June 16th at 24. The low for 1947 was 18 1/2 and Bliss has built up a sizeable accumulation area in the 19-26 range. This area was penetrated on the upside on Tuesday when 27 was reached. Wednesdays close was 26 1/8. The ultimate upside objective for Bliss is now indicated as 54-57. The stock is paying dividends at the rate of 50 quarterly. Earnings for the first quarter of 1947 were 2.01 a share. Purchase is advisedon soft spots. Borg Warner was advised for purchase in our letter of June 16th at 44. Wednesdays close was 46. The stock appears to be in an accumulation area and ability to reach 50 would be an extremely constructive development. Purchase is advised on soft spots. The market seems to be running into a little resistance at the 182-184 level. After reaching a high of 183.74 on Tuesday, the industrials reacted moderately on Wednesday to close 94 lower at 181.72. Several of the technical indicators turned temporarily bearish on Wednesday and would expect the market to work somewhat lower at this stage. Would expect the 177-175 area to furnish effective support. The intermediate term trend still indicates 196201 after a correctionary decline or consolidation. Would withhold buying orders for the time being. EDMUND W. TABELL July 9, 1947 SHIEIDS & COMPANY Closing Dow-Jones Industrials Dow-Jones Rails Dow-Jones 65 stock Avg. 181.72 47.92 64.42 The oplnloM expreaed In thla letter .,. the person Interpretation of chart. by a.Mr. edMUnd W. r.beU end …. not presenMd the opinions of Shields' Complny.