Tabell’s Market Letter – January 08, 1946

Technical Market Action Paced by the steels motors, the staged a sharp advance on Tuesday on increased turnover. The industrial average closed 2.88 higher end rails were up 1.34. Transactions for the day totalled 2,160,000 shares. After the lethargic trading rend heavy tone of the past two weeks, the action was distinctly encouraging. However, see no important change in the technical pattern. Expect the market to hold in range bounded roughly by 200 and 188 with special situations and hitherto neglected issues continuing the advance. Would continue to retain recommended issues until objective levels are reached. increasing of issues are reaching or approaching these levels. Sharon Steel, recommended at 24, reached the lower range of its 32-34 objective and is dropped from the list. Complete list of recommended issues is reprinted below. Recommended At Last Sale Intermediate O b j e c t i ve Alleghany Corp. pfd. American Cable &Radio American Parler & Lt. 5 pro Power &Lt. 6 pro Aviation Corporation Baltimore & Ohio Barnsdall Oil Bendix Aviation Bridgeport Brass Colt's Patent Fire Arms Container Corporation Delaware, Leck. &Western International A & Tel Mid-Continent Petroleum Missouri-Kangas-Texas pfd. Radio Corporation Shell Union Oil Superior Steel Sylvania Electric Texas Pacific Coel & Oil Twin Coach Underwood Corporation United Engineering &Fdry U. S. Industrial Chemical Western Pacific Western Union A Young Spring & Wire 57 12 3/8 70 77 5/8 10 1/4 24 1/4 21 7/8 55 161/8 42 32 3/8 10 27 3/4 32 3') 7/8 161/4 30 33 35 7/8 23 3/8 21 3/4 67 44 3/8 461/2 52 3/4 51 1/2 27 56 15 3/4 97 1/2 104 3/4 10 1/8 27 1/2 22 3/4 54 1/2 17 5/8 42 1/2 39 14 5/8 30 5/8 34 45 3/4 '18 1/8 32 1/2 40 1/8 39 3/4 27 7/8 22 1/2 741/4 50 54 1/2 49 1/4 51 3/4 30 3/4 79-87 indicated if 61 is reached 20 – 22 102 -105 112-115 31 – 33 30 – 32 65 – 67 22 – 24 43 – 45 16 – 17 37 – 40 44 – 46 49 – 53 22 – 25 40 – 45 44 – 46 51 – 53 35 – 40 26 – 28 82 – 85 52 – 55 57 – 63 60 – 63 73 – 76 33 – 35 For new purchases like Alleghany pfd., Colt's Patent Fire Arms, Western Pacific and Western Union A. Some of the smaller motor car companies have interesting technical patterns and while admittedly speculative, seem to indicate higher prices. Hudson Motors (33 7/8), Studebaker (32 5/8) and Willys Overland (23 3/8), appear attractive. Would add to list as a gamble. January 8, 1946 EDMUND W. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-Jones Rails 194.65 64.45 The opinions ell pressed in this latter ere the personal interpretation of charts by Mr. Edmund W. Tabell and are not presented as the opinions of Shields & Company.