Tabell’s Market Letter – June 08, 1956

'I 'I 1 NEW YORK Walston &CO. Inc. Membe1'S New York Stock Exchange PHILADELPHIA' LOS ANGELES SAN FRANCISCO BASLE (SwH,Id) OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM TABELL'S MARKET LETTER June 8, 1956 ,' ,i i'Ii, 1,\ ,I !I ! I, After reaching a high of 485.82 on Tuesday, a recovery of over twenty points from the May 28th low of 463.85, the industrial average dipped to 467.99 on Friday and may be rn the expected process of testing the May low Ability to hold above the 463-458 support level would indicate a possible rally to 495-500. I'. decline below the support range would most likely indi- cate 440-420. Still continue to believe that the market will hold in a wide 100-point trading area for a considerable period of time, preparatory to building a base for the next phase of the advance similar to the 1953-1956 rise. consQ.LidatiRl'LperJod,tbe. a3J'Lragesc,an-Ee. ' more or less'ignore'd while-attention'-rs focussed on individual issues. One of the basic technical tools is the measurement of relative strength. This measurement may be defined as an attempt to discover what stocks are outperforming the general market by comparing the action 'of indi vidual stocks to that of an average. Usually,strong stocks continue to be market leaders for a considerable period of time. Many complicated charts and griphs have been devised for such measurements. It is often pOSSible, however, to make simple yet illuminating relative strength comparisons by simply comparing the prices of stocks at two different periods in a market cycle when average prices were about the same. Such a comparison is afforded by comparing .the stock prices on May 28th when the Dow-Jones Industrial average made an intra-day low of 463.85 with prices at their January-February lows when the Dow-Jones made a low of 458.21, within about 1 of the subsequent May low. The table below lists every common stock on the New York Stock Exchange which, at its low price on May 28th, was approximately 10 or more above its January or February low. Issues marked with a were recommended for purchase in our recommended list published January 27th. A further test is being provided by the present decline, Stocks which hold above the recent May low could r -. . — , May – Jan-Feb. May 28th Low Low Low Low Addressograph-Multi. 108 Air Reduction Allegheny Lud. 36 3/8 30 Alum.Co. of Amer. 82 Aluminium, Ltd. American Bosch 9196 7//8 12 Amer.Broad-Para. American Chain 24 5/8 38 1/2 Amer.Encaustic Tile 13 1/2 Amer.European Sec. 35 3/8 Amer. Export Line 17 3/8 Amer. Gas & Elec. 47 3/8 Amer.Hawaiian S.S. Amer. Hide & Leath. 863 1/2 Amer.Home Frod. 84 1/2 Amer.Mach. & Fdry Amer. Molasses American NeVIS Amer.Shipbuilding … Amer. Steel Fdry Jmaconda Copper Anaconda Wire & C AFil Produc ts Argo Oil Armour 24 1/8 13 1/8 28 1/2 .39 1/4 65 2i63 1/4 15 35//48 Associates Inv. 55 Atlantic Coast Line Baltimore & Ohio Barber Oil Barker Bros. 43 3/8 41 3/4 60 20 1/4 132 41 3/8 35 1/8 106 1/2 118 20 7/8 29 7/8 42 1/2 17 3/4 40 20 3/4 52 5/8 107 5 121 1/2 26 15 31 775///888 66 1/4 43 3/8 72 1/8 73 7/8 19 61 31//24 54 1/4 46 3/4 72 1/2 25 1/4 Bell & Howell 28 1/4 Benef. Finance 18 5/8 Best Foods 44 3/4 Black & Deck. 32 1/8 Blaw-Knox 28 1/2 Boeing Air. 69 1/8 Borg Vlarner 38 1/2 Bristol Myers 28 3/8 Brunswick-Balke 25 j/8 Bucyrus Erie 38 1/8 Buffalo Forge 27 Burroughs Add. 28 1/2 Butler Bros. Callahan Zinc Carborundum 22 1/2 5 1/4 31 1/2 Caterpillar Tr. 55 1/2 Celotex 34 Cent. & So.W. 33,1/2 Certain-teed Chain Belt 22-'1/4 54 1/2 Checker Cab 7 Chic 37 Chic.Pneu.Tool 44 1/2 Chic.Yellow Cab 10 7/8 Chickasha Cotton 20 1/4 Chile Copper 51 1/2 Cincinnati Mill. 37 1/4 Cities Service 54 City Investing 12 3/4 City Products 30 40 20 1/2 51 1/2 41 1/2 33 77 1/2 42 3/4 32 3/8 34 1/4 42 1/4 31 36 5/8 265 11//28 37 1/2 70 1/4 39 1/4 36 7/8 '28 'V8-' 67 3/4 9 1/4 42 1/4 55 1/4 13 7/8 6270 45 60 1/4 14 5/8 36 1/2 ThiS market letter IS not and under no 1'1 to he construed as, un offer to sell or a 8ohcltatIOn to buy nny sccuntlCs referred to herem. The mformatlOn herein IS not as to accuracy or completeness and the furm'lhmg- thereof I not, and under no circumstance'! IS to be reresenrtatlon Iby Wlliston & Co 'VN aglhn\e an Interest Inc the All e'(presslOn of opinIOn are subJcct to change Without nohce secunbC'l ment1med herein ThIS mllrh.et Jetter IS mtenderl 'l,nil Wliiston pr('scntctl 8..- Co, Inc, merely as a or any Offlccr, Director or toc general, mformnl commentfilY on (nyert0 reo, (fly r nev.s anrl not a complete nnalysls Addltl)nallnformutlon v.lth respect to any &('Clllltle; referred to here n WII! be furlllshcd upon request. .. I …… , l.i I i ' ,, I, .- Jan-Feb Low Clev.Elec.Ill. 34 1/4 Cons. Copper. 17 3/8 Continental Can 39 1/4 Continental Oil 94 Cooper Bessemer Cosden Petroleum Crown Zellerbach Cudahy Packing Curtis Publish. 25 1/2 35 3//8 53 5/ 8 734 266 Curtiss-Wright Cutler Hammer DDeenVvielbr,iRssio Grande Diamond J.lkali 1/8 26 1/4 43 1/2 Diana stores 13 3/8 Dow-Ghemica-l Dresser Ind. 49 5/8 Eastern Corp. 26 1/2 East.Stain.Steel 29 1/8 Emerson Elec. 27 Eversharp 15 1/8 Ex-Cell-O 62 1/4 Fansteel 31 Filtrol 62 Food Machinery 51 Freuhauf Trail. 25 1/4 Jamewell Co. 42i 5/8 Gardner Denver 0 Garrett Corp. 38 Garwood 6 General Cable 24 5/8 Gen'l Rwy. Signal 61 1/2 Georgia ac.Plywood 36 Gillette 40 1/8 Great No.lron Ore 25 1/2 Greenfield Tap 31 liB 85 GUll – 33 Halliburton Oil Well 58 ,1/2 Harbison \'Ialker 48 Hertz Corp. 27 3/8 Eooker Electro. 35 1/8 Hotel Corp. 5 3/4 Houdaille, Ind. 12 5/8 Houston Llgh0. 41 1/4 Hudson Man. 1 7/B Hudson Bay Mining 64 Hussmann Refrige. 32 3/4 Idaho Power 27 5/8 Interchemical Corp 47 1/4 Internat'l Nickel 7B Internat'l aper 108 Int.R.R.Cent.i.mer. 15 1/2 Internat'l Salt 94 Internat , 1 Tutil. 3B 1/4 IJsaleagnedr CMraecehkinCe oal 3313 11//82 Johnson & Johnson 67 1/4 Joy Mfg 35 liB Kaiser Alum. 34 7/8 Kansas City South 71 1/4 Koppers Co. . 52 1/4 Kroehler Mfg. 22 Link Belt 47 1/2 Liquid Carbonic 35 1/2 Loew' s J Inc. 18 7/B Lone Star Cement 64 1/4 Long Bell Lumber 35 Louis. G & E 49 3/4 Louis.& Nash. B3 1/2 Lukens Steel 42 M & M Woodwork. 21 5/8 Mack Truck Marathon 26 1/4 33 1/4 -2- May 28th Low Jan-Feb May 28th Low Low 38 3/4 19 7/8 45 1/4 111 30 3/4 Masonite McGraw -Elec. McGraw-Hill Mengel Merck 35 1/4 47 71 1/2 33 3/8 24 5/8 41 1/2 61 1/2 87 1/2 40 1/8 30 45 7/8 62 12 1/8 Mergenthaler L Mesta Machine Midland Enter. 44 5/8 49 1/4 48 54 1/4 46 1/2 58 880 43 1/28 5/ 3 4 30 52 )5 l/B -6-4- 5/8 63 1/2 31 33 1/8 31 Minn.Honeywell Minn.Mining Mission Develop. Monarch Mach. 58 70 105 130 1/4 29 5/8 34 21 1/4 24 Montana Power 39 5/8 44 5/8 Moore-McCormack IB 3/8 20 5/8 Nash–G-hat,,&-St-;-L—-1-18- -1-33 – – – Nat'l Acme 62 68 1/2 National Cash 34 liB 45 Nat'l Container 19 3/4 30 5/8 Nat'l Cylinder Gas 20 24 3/4 17 1/4 Nat' 1 Distillers 20 3/4 24 1/4 ' B3 Nat'l Gypsum 40 3/4 Nat'l Lead 453/B 53 1/2 76 1/2 91 ' 71 7/8 61 Nat'l Mall.Steel Nat'l Supply 32 3/4 37 1/4 47 3/4 63 1/4 30 5/B Newmont Mining 88 7/8 107 1/2 28 1/4 55 43 71B Northeast Cap. Norwich Pharo Ohio Oil 16 1/8 19 3/4 47 5/8 52 3/4 33 5/8 39 1/2 7 1/8 OtiS Elevator 2B 1/4 Owens Ill.Glass 33 1/4 42 61 1/4 67 3/4 77 Pacific Amer. Fish. 9 3/4 10 3/4 51 Panhandle Oil 11 12 1/2 46 1/8 Parmelee Trans. 28 7/8 Penn.-Salt 12 1/2 15 1/4 45 3/4 51 5/B 34 7/8 Pepsi-Cola 20 1/8 23 1/2 1086 1 1 //2 2 Petrol. 71 PitneY-Bowes 55 3/4 Pitts .Cons .Coal 78 3/4 91 1/4 45 53 32 1/2 3B 1/4 38 3/8 40 1/4 6 3/4 15 5/8 47 1/4 2 1/2 77 3/8 Pitts. Metal Pitts.Plate Glass Pitts Steel itt s & 'II.Va. Pittston Co Plymouth Oil Poor & Co. B 37 1/4 74 24 7/8 26 36 5/B 30 1/4 22 54 B2 3/4 27 5/8 29 1/8 45 5/B 34 29 3/4 41 3/4 Pure Oil 37 3/4 42 1/4 31 1/2 53 1/2 90 1/2 122 1/2 Reed Roller Bit R l' Mf e lance g Metals 20 1/2 1B 1/2 45 1/ B 24 1/2 25 1/8 6 /8 63 IB 3/8 121 4I 5 1/4 4400 11//22 75 3/4 45 1/2 43 7/B B2 1/4 60 l/B Rhule1ander Paper Ridgeway Corp RRoohymal&DHuatcahs RoyIaM cBee San Diego Gas Sangamo -Elec. Schering Corp Shamoon Ind. Shamrock Oil 345/B 46 34 3/4 47 39791 5/B 140327 1/2, 27 1/2 31 3//8 18 1/4 21 1 4 29 1/2 -33 44 7/B 23 3/4 52 37 33//4B 39 7/8 51 1/4 25 1/2 62 Shell Oil Signode Steel 62 1/8 77 1/4 21 5/B 27 40 1/4 22 1/8 72 Simonds Saw Sinc lair Oil Smith Corona 55 1/2 64 55 5/8 62 1/2 24 5/8 36 1/4 75 1/2 Socony-Mobil 61 1/4 69 3/4 57 1/2 Southern Railway 98 1/2 108 93 1/2 Spencer Kellogg 17 1/4 20 7/B 72 3/4 33 Square D Stand .Gas & Elec 51 1/2 61 9 5/8 10 3/4 31 Stand.Oil of Cal. B7 1/2 95 1/2 41 1/2 -3Jan.-Feb. May 28th Low Low Stand.Oil of Indiana 48 1/2 55 1/4 Stand.Oil of N.J. 49 1/2 54 1/8 Starrett, L.S. 43 3/4 51 Stauffer Chemical S,unbeam..– – 51 1/2 ,,-32 62 1/2 — Sylvarlia Elec. 42 – 47 3/4 Tennessee Corp. 45 49 Texas Gulf rod. 38 1/2 42' 1/8 Texas Pac. Coal 33 3/4 40 Texas Pac. R.R. 150 171 Texas utilities 34 5/8 37 1/2 Thatcher Mfg. 15 3/8 18 3/4 Thermoid 10 3/4 12 1/2 Thompson Prod. 48 3/8 53 3/4 Tide Water Assoc.Oil 33 39 Timken Roller Bear. 62 1/4 69 Trane Co. 44 1/2 56 1/4 Truax Traer 25 27 1/2 Union Bag 31 1/2 39 3/4 United Carbon 48 1/4 56 3/4 United Elec. Coal 21 26 U.S. & Fgn. Sec. 28 1/8 34 U.S. Freight 54 62 U.S. Gypsum 54 1/2 60 1/2 U.S. Lines 22 5/8 25 5/8 – U.S. lywood 37 3/8 41 1/8 United \'/allpaper 1 3/4 2 Univ.Cyclops Steel 41 1/4 48 1/2 Univ.Leaf Tobacco 32 35 3/4 Vanadium 38 1/2 44 1/2 Vert.Camaguey Sugar 7 7 3/4 Virginia Elec. & Pro 38 1/4 43 7/8 Virginian Rwy 46 3/8 61 1/.4 Vulcan Detinning 16 5/8 19 Walworth 12 3/4 14 7/8 Warner Bros. 18 1/2 20 3/4 Warren Petroleum 65 1/4 86 v/aukesha Motors 25 1/2 28 1/4 Wayne Knitting 22 24 Wayne Pump 19 1/8 21 1/2 West Kentucky Coal 25 3/4 34 ,vest Virginia Pulp & Paper 42 3/4 56 Western Maryland 47 54 1/2 vlestern Pacific 63 70 1/2 vlhite Motors 36 1/4 40 3/8 Wilcox 'Oil 30 1/8 50 — Wilson & Co 12 5/8 14 7/8 Wilson Jones 14 1/4 17 1/8 Worthington Corp. 41 1/8 46 1/4 Young Spring & Wire 24 27 EDMUND vi. T,BELL WALSTON & CO. INC. ,'-. /.0