1841.3321.365
* Prepared by Cynthia Magee and Paul B. Coombs of the Technical Staff of John Magee Inc.
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622American Airlines Inc.American Brands Inc.American Broadcasting Cos.American Can CompanyAmerican Chain & CableAmerican Cyanamid CompanyAmerican District TelegraphAmerican Home ProductsAmerican Hospital SupplyAmerican Motors Corp.American Standard Inc.American Sterilizer Co.American Stores Co.Ametek, Inc.AMF, Inc.AMP Inc.Amstar Corp.Amsted IndustriesAnaconda CompanyAnchor Hocking Corp.Anderson Clayton & Co.ARA Services, Inc.Archer-Daniels-MidlandArmco Steel Corp.Armstrong Cork Co.ASA Ltd.ASARCO Inc.Ashland Oil Inc.Associated Dry GoodsAtlantic Richfield Co.Automatic Data ProcessingAvco CorporationAvery Products Corp.Avnet Inc.Avon Products, Inc.Babcock & Wilcox Co.Baker Oil Tools, Inc.Barber Oil Corp.Bath Industries, Inc.Bausch & Lomb, Inc.Baxter LaboratoriesBeatrice Foods Co.Beckman Instruments Inc.Becton Dickinson & Co.Bell & Howell Co.Bendix CorporationBeneficial Corp.Bethlehem Steel Corp.Black & Decker Mfg.Boeing CompanyBoise Cascade Corp.Bond IndustriesBorden, Inc.Borg WarnerBraniff Int’l
Technical Analysis of Stock Trends1.440.7241.401.834.746.8741.238.8881.050.9721.1121.056.9561.0871.4291.011.958.8861.2601.078.8601.418.928.736.9391.5091.0901.0221.0941.3991.4731.1541.0871.4091.2781.1721.1921.2991.5382.2871.197.7881.3621.1481.5011.1431.092.7681.1451.7051.5631.006.766.8331.649
Briggs & Stratton Corp.Bristol-Myers CompanyBritish PetroleumBrunswick Corp.Bucyrus-Erie Co.Budd CompanyBulova Watch Co., Inc.Burlington IndustriesBurlington Northern, Inc.Burroughs CorporationCampbell Soup Co.Canadian Pacific LimitedCapital Cities Commun. Inc.Carborundum CompanyCarnation CompanyCarpenter TechnologyCarrier CorporationCaterpillar Tractor Co.CBS Inc.Celanese CorporationCenco InstrumentsCentral Soya Co.Cerro CorporationChampion InternationalChampion Spark Plug Co.Chase Manhattan Corp.Chemetron CorporationChesebrough-Ponds, Inc.Chessie System Inc.Chicago Milwaukee Corp.Chicago Pneumatic Tool Co.Chicago Rock Island & Pacific RRChrysler CorporationCincinnati Milacron Inc.CIT Financial Corp.CITICORPCities Service CompanyClark Equipment CompanyClorox CompanyCluett, Peabody & Co., Inc.Coastal States Gas Corp.Coca-Cola Bot. Co. of N.Y.Coca-Cola Co.Colgate-Palmolive Co.Colt Industries, Inc.Combustion Engineering Inc.Commonwealth OilCommunications SatelliteConrac Corp.Consolidated Foods Corp.Consolidated Freightways, Inc.Continental Air Lines, Inc.Continental Can CompanyContinental Corp.Continental Oil Co.
.975.961.8781.3151.1701.0471.1721.0761.0331.683.677.5021.1951.0441.090.9161.2841.0781.7241.20]1.221.7101.2211.062.789.7351.034.986.8691.9381.0471.4061.3931.195.819.856.947.9611.5301.0691.3121.253.983.8671.7241.2181.1401.5771.633.9521.1981.557.880.727.787
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Appendix AControl Data Corp.Cooper IndustriesCorning Glass WorksCPC International, Inc.Crane CompanyCreole PetroleumCrown Cork & Seal Co. Inc.Crown Zellerbach Corp.CTS CorporationCummins Engine CompanyCurtiss Wright Corp.Cutler Hammer Inc.Cyprus Mines Corp.Damon CorporationDana CorporationDayco CorporationDeere & CompanyDelta Air Lines, Inc.Diamond InternationalDiamond Shamrock Corp.Digital Equipment Corp.Disney (Walt) ProductionsDistillers Corp.-Seagrams Ltd.Dome Mines Ltd.Dow Chemical CompanyDow–Jones Rail AveragesDr. Pepper CompanyDresser Industries, Inc.du Pond (E.I.) Inc.Eastern Air Lines, Inc.Eastern Gas & Fuel AssociatesEastman Kodak CompanyEchlin ManufacturingEckerd (Jack) Corp.Eltra CorporationEmerson Electric CompanyEmery Air Freight Corp.Englehard Minerals & Chem.Esmark Inc.Ex-Cell-O Corp.Exxon Corp.Faberge, Inc.Fairchild Camera & InstrumentsFansteel Inc.Federal National MortgageFederated Department StoresFibreboard Corp.Firestone Tire & Rubber Co.First Charter FinancialFlintkote Co.Fluor CorporationFMC CorporationFord Motor CompanyForemost-McKesson, Inc.Foster Wheeler Corp.
6231.8471.4511.353.9561.037.841.9311.0501.022.9111.3731.2451.0001.644.796.9051.0561.373.783.8601.5661.867.7531.3761.0121.434.9191.0721.0501.6691.3961.0981.3531.1701.209.872.9891.2531.0141.019.7721.3032.6401.4531.055.9611.187.8301.103.9561.276.835.9031.0671.236
Freeport Minerals Co.Fruehauf CorporationGamble-Skogmo, Inc.Gardner-Denver Co.Gen. Am. Investors Co., Inc.Gen. Am. Transportation Corp.General Cable Corp.General Dynamics Corp.General Electric Co.General Foods Corp.General Instrument Corp.General Mills, Inc.General Motors Corp.General Portland Inc.General Signal Corp.General Tire & Rubber Co.Genesco Inc.Genuine Parts Co.Georgia-Pacific Corp.Getty Oil Co.Gillette Company, (The)Goodrich (B.F.) CompanyGoodyear Tire & Rubber Co.Gould, Inc.Grace (W.R.) & Co.Graniteville Co.Grant (W.T.) Co.Great A & P Tea Co., Inc.Great Northern Iron OreGreat Northern Nekoosa Corp.Great Western Financial Corp.Greyhound Corp.Grumman Corp.Gulf & Western Industries Inc.Gulf Oil CorporationHalliburton Co.Hammermill Paper Co.Harris CorporationHelca Mining Co.Helmerich & Payne, Inc.Hercules Inc.Hershey Foods Corp.Hewlett-Packard Co.High Voltage EngineeringHilton Hotels Corp.Holiday Inns, Inc.Homestake Mining Co.Honeywell Inc.Houdaille Industries, Inc.Household Finance Corp.Howard Johnson Co.Howmet Corp.Hudson Bay Min. & Smelt. Co.Ideal Basic Industries, Inc.Illinois Central Industries, Inc.
1.388.8721.143.908.919.8781.1951.362.914.7571.393.8741.020.9391.106.9941.2701.0501.0861.4271.127.948.8101.147.955.9311.343.875.566.8671.253.7771.3761.523.7741.379.9421.1761.1041.267.927.7351.4201.4881.6131.6101.3491.532.903.8721.3991.315.875.7181.271
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624Imperial Oil Ltd.INA CorporationIngersoll-Rand Co.Inland Steel CompanyInspiration Consol. CopperInterco Inc.Internat. Flavors & Frag. Inc.Internat. Minerals & Chem.International Bus. MachinesInternational Harvester Co.International Nickel Co. of CanadaInternational Paper CompanyInternational Tel & Tel. Corp.Jefferson-Pilot Corp.Jewel Companies, Inc.Johns-Manville CorporationJohnson & JohnsonJones & Laughlin Steel Corp.Joy Manufacturing Co.Kaiser Aluminum & ChemicalKansas City Southern Ind.Kaufman & Broad, Inc.Kawecki Berylco Inc.Kellogg CompanyKennecott Copper Corp.Kerr McGee Corp.Kimberly-Clark CorporationKLM Royal Dutch AirlinesKoppers Co., Inc.Kraftco Corp.Kresge (S.S.) Co.Kroger CompanyLehigh Portland Cement Co.Libbey-Owens-Ford Co.Libby McNeil & LibbyLiggett & Myers Inc.Lilly (Eli) & Co.Litton IndustriesLockheed Aircraft Corp.Loews Corp.Lone Star IndustriesLouisiana Land & Exploration Co.LTV CorporationLubrizol Corp.Lukens Steel Co.Macmillan Inc.Macy (R.H.) & Co., Inc.Madison Fund, Inc.Magnavox Co.Mallory, (P. R.) & Co., Inc.Marathon Oil Co.Marcor, Inc.Maremont Corp.Marine Midland Banks, Inc.Marion Laboratories, Inc.
Technical Analysis of Stock Trends.8661.268.947.677.8691.062.864.9001.811.903.813.8461.033.934.931.9191.2991.0701.3211.1541.0021.6881.097.6131.0651.287.9081.906.963.6721.3151.017.888.897.816.894.7991.5121.3201.909.807.9862.1091.0451.4681.268.987.7191.2261.0581.3291.1501.858.6751.251
Marriott Corp.Marshall Field & Co.Martin-Marietta Corp.Masco Corp.Masonite Corp.Massey-Ferguson Ltd.Matsushita Electric ADRMay Department Stores Co.McDermott (J.R.) & Co., Inc.McDonald’s Corp.McDonnell-Douglas Corp.McGraw-Edison Co.McGraw-Hill Inc.McIntyre Mines Ltd.Mead Corp.Melville Shoe Corp.Merck & Co., Inc.Mesta Machine Co.Metro-Goldwyn-Mayer, Inc.Metromedia, Inc.MGIC Investment Corp.Microdot Inc.Microwave Associates, Inc.Midland-Ross Corp.Minnesota Mining & Mfg.Missouri Pacific R.R. Co.Mobil Oil Corp.Molycorp Inc.Monroe Auto Equipment Co.Monsanto Co.Morgan (J.P.) & Co.Morton-Norwich Products, Inc.Motorola Inc.Murphy Oil Corp.N.L. Industries, Inc.Nabisco, Inc.Nalco Chemical Co.National Airlines, Inc.National Aviation Corp.National Can Corp.National Chemsearch Corp.National Distillers & Chem.National Gypsum CompanyNational Semiconductor Corp.National Steel Corp.National Tea CompanyNatomas Co.NCR Corp.Neptune International Corp.Newmont Mining Corp.Norfolk & Western Ry. Co.Northrop Corp.Northwest Airlines, Inc.Northwest IndustriesNorton Simon Inc.
1.221.942.8351.1511.041.9171.0981.2291.6971.5331.374.9811.1651.407.8801.108.9441.1601.2791.5801.9841.4351.6681.025.914.846.9911.5381.3631.131.8911.0371.8891.056.792.629.9141.649.7361.170.972.601.8641.591.852.6412.3681.359.9241.006.9511.1391.5991.2851.256
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Appendix AOccidental Petroleum Corp.Olin Corp.Otis Elevator Co.Outboard Marine Corp.Owens-Corning Fiberglass Corp.Owens-Illinois Inc.Pacific Petroleums Ltd.Pan American World AirwaysPapercraft Corp.Pasco Int.Peabody Galion Corp.Penn-Dixie IndustriesPenney (J.C.) Co.Pennwalt Corp.Pennzoil Co.PepsiCo, Inc.Perkin-Elmer Corp.Pfizer, Inc.Phelps Dodge Corp.Philip Morris, Inc.Phillips Petroleum Co.Pillsbury CompanyPitney-Bowes, Inc.Pittston Co.Polaroid Corp.Ponderosa Systems, Inc.PPG Industries, Inc.Prentice-Hall Int.Procter & Gamble Co.Pullman Inc.Quaker Oats Co.Quaker State OilRalston Purina Co.Rapid American Corp.Raytheon Co.RCA Corp.Reed Tool Co.Republic Steel Corp.Research-CottrellRevco D.S., Inc.Revlon Inc.Reynolds (R.J.) Industries Inc.Reynolds Metals Co.Richardson-Merrell Inc.Rio Grande Industries Inc.Rite Aid Corp.Robertshaw Controls Co.Robins (A.H.) Co.Rockwell International Corp.Rohm & Haas Co.Rosario Resources Corp.Royal Crown Cola Co.Royal Dutch Petroleum Co.Ryder Systems Inc.Safeway Stores, Inc.
625.9481.0671.0111.312.936.9921.0581.5101.2181.3321.4901.1261.0271.0161.326.9801.147.869.8271.023.8851.008.9611.1001.5882.588.9091.137.8701.045.1481.223.7041.1761.4161.0471.323.8781.7141.203.995.9271.126.945.9781.8581.0621.214.7751.2151.2391.314.8781.209.743
St. Joe Minerals Corp.St. Louis-San Francisco Bay Co.St. Regis Paper CompanySanta Fe Industries Inc.Schering-Plough Corp.Schlitz (Jos.) Brewing Co.Schlumberger N.V.SCM CorporationScott Paper Co.Scott, Foresman & Co.Seaboard Coast Line IndustriesSearle (G.D.) & Co.Sears, Roebuck & Co.Sedco, Inc.Shell Oil Co.Sheller-Globe Corp.Sherwin-Williams Co.Signal Companies Inc.Simmons CompanySimplicity Pattern Co.Singer CompanySkelly Oil Co.Smith (A.O.) Corp.Smith Kline Corp.Sony Corporation ADRSouthern Pacific Co.Southern Railway Co.Sperry Rand Corp.Sprague Electric Co.Square D. CompanySquibb Corp.Standard Brands, Inc.Standard Oil Co. CaliforniaStandard Oil Co. IndianaStandard Oil Co. OhioStauffer Chemical Co.Sterling Drug Inc.Stevens (O.P.) & Co., Inc.Stewart-Warner Corp.Stokely-Van Camp, Inc.Stone & Webster, Inc.Stop & Shop Companies, Inc.Storer Broadcasting Co.Stovill Manufacturing Co.Studebaker-Worthington Inc.Sun Oil CompanySunbeam Corp.Sundstrand Corp.Sunshine Mining Co.Syntex CorporationTaft Broadcasting Co.Technicolor Inc.Tektronix, Inc.Teledyne Inc.Tesoro Petroleum Corp.
.888.972.763.8071.0341.1251.3091.275.816.9801.2561.209.9471.298.8801.377.902.9861.0061.3561.153.9781.058.8841.449.973.9051.3791.582.905.989.887.860.8911.098.852.7771.301.7691.164.928.9731.4961.1371.512.880.9631.6081.5432.2791.5231.4871.7391.738l.416
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626Texaco Inc.Texas Instruments, Inc.Texasgulf Inc.Textron Inc.Thiokol CorporationTiger International, Inc.Time Inc.Timken Co.Trane Co.Trans-Union Corp.Trans-World Airlines, Inc.Transamerica Corp.Transway International Corp.Tri-Continental Corp.Tropicana Producers, Inc.TRW Inc.Twentieth Cent.-Fox FilmU.S. Gypsum Co.U.S. IndustriesU.S. Shoe CorporationU.S. Steel CorporationU.S. Tobacco CompanyUAL, Inc.UMC Industries, Inc.Union Camp Corp.Union Carbide Corp.Union Oil Corp.Union Pacific Corp.Uniroyal, Inc.United Brands Co.United Corp.United Merchants & Mfg.United Technologies
Technical Analysis of Stock Trends.8581.5571.6461.0981.2161.5011.474.7221.1031.1221.7241.2231.072.6301.7941.1281.257.9311.260.945.774.7891.4981.221.870.7551.078.956.8861.334.479.8491.529
Universal Oil ProductsUpjohn CompanyUSLIFE Corp.USM CorporationUtah International, Inc.UV Industries, Inc.Varian AssociatesVendo CompanyVictor Comptometer Corp.Walgreen CompanyWalker (Hiram)Wallace-Murray Corp.Warner Communications Inc.Warner-Lambert Co.Warner & Swasey Co.West Point-PepperellWestern Air Lines, Inc.Western BancorporationWestinghouse Electric Corp.Westvaco Corp.Weyerhaeuser Co.Whirlpool Corp.Williams CompaniesWinn-Dixie Stores, Inc.Woolworth (F.W.) Co.Wrigley (Wm.) Jr. Co.Xerox Corp.Xtra, Inc.Zale Corp.Zapata Corp.Zenith Radio Corp.Zurn Industries
1.2011.1221.0511.184.8471.5021.2731.2651.708.973.7821.0641.332.8911.2821.1531.406.7471.081.9561.050.8861.284.7001.030.7911.3591.3591.2591.7251.2641.494
UTILITY STOCKSAllegheny Power System, Int.American Electric Power Co. Inc.American Natural Gas Co.American Tel. & Tel Co.Arizona Public Service Co.Arkansas Louisiana Gas Co.Baltimore Gas & Electric Co.Boston Edison Co.Brooklyn Union Gas Co.Central & South West Corp.Cincinnati Gas & Electric Co.Cleveland Electric Illum. Co.Columbia Gas System Inc.Commonwealth Edison Co.Consolidated Edison New YorkConsolidated Natural Gas Co.Consumers Power Co.Delmarva Power & Light Co.
.534.607.744.591.777.707.580.554.498.651.565.557.552.630.538.529.693.599
Detroit Edison Co.D.J. Utility AverageEl Paso Natural GasFlorida Power Corp.Florida Power & Light Co.General Public Utilities Corp.General Tel. & Electronics Corp.Gulf States Utilities Co.Houston Lighting & Power Co.Idaho Power Co.Lone Star Gas Co.Long Island Lighting Co.Middle South Utilities, Inc.Mississippi River Corp.New England Electric SystemNevada Power Co.Niagara Mohawk Power Corp.Northern Natural Gas Co.
.532.613.649.933.732.616.725.657.713.619.780.602.683.866.5441.041.465.746
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Appendix ANorthern States Power Co.Ohio Edison Co.Oklahoma Gas & Electric Co.Pacific Gas & Electric Co.Pacific Lighting Corp.Panhandle Eastern Pipe Line Co.Pennsylvania Power & Light Co.Peoples Gas Co.Philadelphia Electric Co.Public Service Electric & Gas Co.
627.557.548.693.635.510.780.597.658.499.611
Southern California EdisonSouthern CompanySouthern Natural Resources, Inc.Tenneco Inc.Texas Eastern Transmission Corp.Texas Utilities Co.UGI Corp.Unitel Inc.Virginia Electric Power Co.Western Union Corp.
.696.599.977.7471.075.641.696.722.7161.317
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appendix BSection 1Magee’s Original Chapter 23in the Fifth and Seventh EditionsThe Mechanics of Building a ChartYou are now ready to start building your set of charts, which will in time,if faithfully kept, provide you with an invaluable working tool or “capitalasset.”You have before you a supply of whatever type of chart paper you havedecided to use, the binder or binders for the charts, pencils, triangle, ruler,and the stock page of the daily newspaper. You will have these thingsarranged on a large, cleared, well-lighted working area; and you will be leftfree to work undisturbed. You have already chosen the list of stocks youintend to chart.Fill out a chart form for each stock. In the upper left-hand corner, putthe dates covered by the 52 weeks or whatever period of time is to be coveredby the chart sheet. It would be a good idea, right from the start, to divideyour charts into four groups. All stocks from A to C inclusive might havechart sheets dated January through December 1957, for example (if you areusing the full-year charting paper), followed on their completion by sheetsdated January through December 1958. Then all stocks from D to I inclusivewill be on charts dated April 1957 through March 1958, and these will befollowed on their completion by sheets dated April 1958 through March1959. Similarly, a third group will include stocks from J through R, datedJuly 1957 through June 1958, and a fourth group will include the remainingissues from S through Z, dated October 1957 through September 1958. Thus,each 3 months, a quarter of your charts will run out and call for new pages,and at no time will all your charts come to the ends of their sheets simultaneously. If the date on which you are starting a chart happens to fall inAugust, set up the sheet dated as for other stocks in its alphabetical group,leaving blank whatever months lie before the start of your chart. Then youwill be on the right track from the beginning and will never have anyconfusion as to the dating of chart sheets.Put the name of the company in the title space at the center of the top;put the dates covered by the sheet to the left, and the ticker symbol to theright. Then fill in the scale of prices on the vertical left margin. If you areusing arithmetic paper, you can simply write the figures representing prices
629
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630
Technical Analysis of Stock Trends
up and down from the center, letting the center come at or near the stock’smarket price at the time of starting the chart. With square-root paper orlogarithmic (ratio) paper, place the scale, so that the center of the paper willbe as near as possible to the present price. (Note: if you are using theTEKNIPLAT chart paper, which is a ratio paper, you will find a detailedoutline of procedure in Appendix B, Section 2, though if you are familiarwith ratio scale, you will have no difficulty in setting up the chart.)From chart examples in this book, you will see how charts may be titled,dated, and scaled. You will also notice that on sheets especially printed forcharting stock prices, each sixth vertical line is somewhat heavier than itsneighbors; this represents a Saturday, on which you will have no entry sincethe market does not operate on Saturday. However, this slight break eachweek will not affect your trends and other technical indications materially,and serves to provide a space between the weeks, making it easier for theeye to pick out a particular day of the week quickly in charting. It is important to make your first entry on the correct vertical line for the day of theweek, so that the ending of the first week will come on a “Saturday” line. Ifa month should start on Monday, start your chart on the first line immediately to the right of the left border. If the month should start on Thursday,begin three small spaces farther to the right, so that Saturday falls on thefirst heavier line.Finally, you will have a volume scale near the bottom of the chart anda time scale along the very bottom showing the date of each Saturday overthe period covered by the chart sheet.There are four figures you must pick up for charting from the newspaperyou are following. At first, you will find it necessary to look back and forthseveral times, taking the high, low, closing price, and day’s volume separately. With practice, and by making a conscious effort to train your eyesand mind, you will find it possible to grasp the four figures in one single“grab,” fixing them in your mind for the few seconds it takes to mark themin on the chart sheet. This knack, when you have mastered it, can cut downthe time needed for charting 50% or more; it is well worth a bit of extra effort.
Holidays–Ex-Dividend DaysWhen a holiday occurs or when for any reason the market is closed, simplyskip that day, leaving blank the space (vertical line) where you would haveentered it. When there are no sales of a stock on a particular day, mark asmall “0” in the volume scale. If you happen to be watching a particularsituation in a stock closely, you might