Tabell’s Market Letter – July 31, 1964

Walston &Co. Inc, Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABEll'S MARKET LEnER July 31, 1964 The Dow-Jones Industrial average d'eclined to the upper part of the suggested 835-825 support level to reach an intra-day low of 833.47 on Tuesday. This decline, incidentally, was approximately a one-third retracement of the advance from the June low of 796.90 to the re- cent high of 855.19. Since the start of the year, price movements in the Industrial average have consisted of a series of small base patterns followed by an uptrend and a normal tech- nical correction of a third to a half of the previous advance. This has kept the market in sound technical condition. At no time during this period has the market been sharply over- bought or oversold. The near term pattern suggests another consolidating period before a move of any great significance is indicated. In last week's letter we stated that the recent price action of the various Industrial averages has not been an accurate pattern of what has been happening in individua-l-stocks. For example, the Dow-Jones Industrial average reached its 1963 high of 761. 21 in October. At Thursday's close of 839.37, the average was approximately 90/0 above the 1963 high. The table below shows the price performance on each of the thirty stocks in the Average since their 1963 highs. The month in Clqse 7/30/64 which the 1963 1963 High high was rliachedi ' Month Reached salAsdo'v70naontceed.or Decline – Intern'l Harvester Swift & Co. Sears Roebuck 80 52 117 63 45 102 May December September 27 16 15 Standard Oil of N. J. 88 77 December 14 International Nickel 78 69 WJohns Manville 59 52 \/Lay 13 0 Owens Illinois Glass DOW-JONES IN DUS. Texaco Eastman Kodak Woolworth Bethlehem Steel DuPont, DeNemours – 101 839 81 130 29 37 .264 89 Bb 767 , er 75 A. t &j \).122 \\!Apr' W V ember April Decembe-r- 7 7 6 .6 Chrysler General Motors Procter & Gamble American Tel & Tel 5 4 72 5 October 1 October 81 October 71 November 4 4 4 2 Goodyear 43 October 2 Union Carbide American Tobacco U. S. Steel 124 34 58 122 34 58 December April October o2 o General Foods 90 91 September Aluminum Co 68 70 October Standard Oil of Calif. 66 69 September 1 3 4 General Electric 84 88 October 5 American Can 44 47 August 6 Allied Chemical 53 59 December United Aircraft 48 54 January International Paper 32 36 Septembe!' Westinghouse Elec. 35 41 October Anaconda 45 54 June 10 10 11 14 17 Adjusted for split. It is interesting to note that unless the right stocks were bought, the holder of individual issues in the Inaustrial average would not have shown much profit over the past seven to ten months. Only seven of the thirty issues have acted better than the Industrial average. Eleven have shown below average action, two have shown no gain and ten are selling lower than the highs of seven to ten months ago. , rhe only point of the above table is to again stress ou, thought that, c!es pite the new hlghs m the averages,the great bulk of stocks are below thelr 1950-1961 hlghs and are in ou opmion, in a broaa accumulation range that will result in much higher leveIs in the later part of the 1960's. Individual stiYck'S'ar,e'..irRi(!\ti!ferti!ht stages of the techmcal pattern. Some C , lower levels before the start of the broad advance. Others have already built up sufficient po- tential base patterns to indicate the type are in our recommended list. probability of anEaDdMvaUnNceDawt .anTAeaBrEliLeLr date. Issues of thi DDoouwr–JJoonneeis' RInad,l.J 8 4211. 71.0gO WALSTON & CO. INC. ThiS market letter IS not and under no circumstancC'9 IS to be construed as, an offer to eell or a soliCItation to buy any securitIes referred to herem The InformatIOn contmned herem 18 not 110n b)' olston &. Co, Inc. All as to accuracy expreSSIOns of or completeness and OPinIOn are subJect the to furnishi change ng there Without of IS no nohce t, and Walst un on der & no circumstances is to be construed as, n. repreaenwCo, Inc, and Officers, Directors, Stockholders and Empi(j)ee'l thereor purehose sell ond may ha\.e an mterest m the securities mentIOned herem This market letter IS mtended and presented merely as a general. mformnl on day to day market nev.s and not as a complete analYBiB Additional mformatlOn with rC'lpect to any securities referred to herem will be furnished upon request WN J01