Tabell’s Market Letter – October 21, 1955

Walston &- Co. MEMBERS NEW VORK STOCK eXCHANGE AND OTHER LEADING STOCK AND COMMODITY eXCHANGES NEW YORK PHILADELPHIA LOS ANGELES SAN FRANCISCO LUGANO (Sw,'wl..d I OfFICES COAST TO COAST CONNECTEC BY DIRECT PRIVATE WIRE SYSTEM TABEll'S MARKET lEnER October 21, 1955 The market is showing favorable near term action and, with a continuance of excel-lent third-quarter earnings reports, could move somewhat higher to the 465-475 level despite the fact that it has now regained the normal twothirds retracement of the forty-two point decline from the recovery high of 475 to the low of 433.19. Starting in about mid-November, tax loss selling might start entering the picture and cause the usual irregularity and cross currents. Such selling was almost totally absent last year, but could be more important this year. ht the recent lOWS, more than half the listed . -issues weresel.ling mOI'e below.the 1955 – . ' As usual, individual issues will move quite independently of the general market. In our recommended list there are many issues that appear to have support levels quite close to the market and upside potentials of 100 or more. Long term investors should base their buying decisions on the action of these individual stocks and ignore the action of the general marke Below is a summary of my recommended list. vlhile some of these issues have advanced sharply since our original recommendation, I suggest continued holding as the ultimate upside objectives are considerably above current levels and there are support points not too far below the market. In cases where two objectives are mentioned, the lower objective is the nearer term potential followed by a resting period and possible attainment of the higher objective over the longer term. Present !rice Alleghany Corp. Allegheny Ludlum (.llied Stores j,merican Chain 9 56 57 42 Amer.Potash B Assoc.Dry Goods .Bar-ber .0i.L Black &Decker Calgary & Edmonton 92 – 5331-. 3165 Celanese 21 Chain Belt Cities Service Coca-Cora 53 56 126 Colgate-alm. Cornell Dubilier Cutler Hammer 57 33 70 Dow Chemical Dresser Ind. Eagle Picher GeniI Rwy.Signal Hall rinting Hewi t t-Robins Joy Mfg. Magma Copper Monsanto Chemical 53 47 39 2523 37 58 98 46 Mont.Dakota Util. 26 acific etroleum 12 an-Amer.World Air. 18 Raybestos-Man. – 56 Robertshaw-Fulton 28 Sil1'mons Co. 44 Sinclair Oil United Fruit 56 54 Western Auto Yale & Towne 30 61 Price Recom. 3 3/4 33-30 3830-33 40 26 59 3196 3137 30-35 38 122 60 21-22 57 38-40 3223 51617 25-30 47 75 31 26 H- 11-13 42 21 36 417 47-50 25 45 Yield f,dvice Objective 12-17.Support at 4.3 Objective 85. Support at 65.03 2.7 55 -3-9 2.9 0.6 2.3 4.7 3.6 4.0 4.4 6.1 4.3 1.9 5.3 4.6 4.7 6.4 5.4 4.3 2.2 03.89 4.5 5-.4 5.4 6.8 5.4 5.6 5.3 4.9 Objective 98. Support at Hold for Objectiv i e ncome.Support at 120-150.Support a4t 1 t 9. Support at 32-30. — ObJ-eet.80-H5-. Support at-50-4 Object.135.Support at 32-30. Buy for long term specuration. Object.34.Support at 20-18. Object.78.Support at Object.81. Support at 52-58. Object. 280.Support at 125-TIG Object 73-100.Support at 54-5 Hold for il'tcome.Support Object.120-140.Support at 65-j( Hold for growth. Support at 52-pi Object.70-85.Support at 4240. Object.61-77.Support at 36-33. Object.140-150.Support at 50-1 8 Hold for income.Support-at 20. Object.85.Support at 35-33. Object.75-150.Support at 54-5P Object.200.Support at 90. Hold for growth.Buy 'at 43-40. Object.45-60.Support at 26-24. Buy as long term speculatian. . Object.27-45.Support at 1716. – Hard for 'income Support Object.40-46.Support at 27-25. Object.7196.Support at Object.65-89.Support at 53-50. Object.86.Support at 53-52. Hold for income.Support 28-27. Object.l05.Support at 58-55. EDMUND W. T!iBELL WALSTON & CO.