The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1910-06-17
STORY TOLD BY
MARKET CHART
If History Will Repeat Self,
Present Stock Slump Is
Not Ended.
STOCK MOVEMENT OF
THE PAST REVIEWED
Pendulum Not Yet Reached
Limit of Impetus, Judging
From Past.

II is to be perceived that eastern au
thorities on the financial and stock stu
alton are leaning somewhat TO the sid'
OF optimism for the first time in severa
months, tempering their bulltSh tenden'
cies, however. with advice TO the cffect
that certain restrictions or safeguards
should be placed on all long market ven
lures in case the storm winds should con.
tlnue 10 blow,
Unless a person studies an exhibit oi
stock fluctuations understandings. he is
not likely 10 pore long over d chart oi
stock movements. But when IL is APP
preciated that these charts not only pic
ture the ups and downs of market values
but most eloqucntly indicate the exist
ence or absence of panics. one begins to
see that he Is reading history in the
ragged lines which resemble a noun
tain range cut by deep gulches, and IT Is
history that is so often repeated that
such chart becomes more or less a
powerful factor in gauging future copdi-
tions.
In the MAY number OF Ticker Is such n
chart showing the rise and fall OF twenty
representative railroad stocks. comprising
an cpitome Of the country'S prosperity
and adversely since 1901. Beginning with
January II, 1901. with the usual fluctua =
tions the tendency OF the market is up
ward until September Q, 1902, Is reached.
This is mountain peak No. !. Then pro-
crossing into 1903 is found a very pro-
nounced downward trend until September
2S. 1908, is reached. and this comprises
canyon No. l.
The beginning of 1904 finds another up
ward movement In the markets. especial
" rapid toward the close OF the year, the
movement reaching it's eliminating point
IN March and April 1905, apparently, yet
even greater heights were obtained on
January q. 1906. This Is mountain peak
No. .. and the highest in the range. on
January >. 1907, the descent begins again.
the range sliding down with tremendous
cliffs until the fateful November 81. 1907.
NI uEn n
est on the range. With the beginning of
1908 and up until January 2, 1909. there
were the usual fluctuations. and the up
ward trend continues steadily until Au-
gurt II. 1903, when we find mountain
peak No. ) completed. Since then we
have witnessed declining prices, and can
yon No has been In process OF con-
struction.
The chart today shows that we are a
considerable distance yet from the bot
tom OF canyon No. If the range Is to
be maintained as in the past These
evenly distributed great movements up
ward with the regular deep declines in
between go a far way toward demon
strating that the markets move like the
years: that is, by regular seasons, and
the fact that OH the present decline we
arc only about half way down to the
average low movements in the years past
creates the conviction i'm the minds OF
the usual upward and downward ton
dency. the downward trend still is due
TO the logical depth before we begin 10
struggle up mountain peak No, 1,
From the high mark of January %.
1906. to May 3, there was quite dull
price period. but the pendulum OF prices
swung back on September II To almost
the high point of January. and again on
December II nearly the high record was
regained This recovery might be dupli-
called al the present time, and again ii
might not be.
Hence caution seasons judgment. and
moderately
we'll confined within stop-loss orders and
disposition 10 take adverse develop
ments philosophicaly.