Green Book July 2005

Advance/Decline Line & Price Line Divergences Offer Guidance

Using Breadth Dynamics to assess strength of small cap stocks versus large cap stocks within various broad market sectors: Health Care, Materials, Consumer Discretionary, and Energy.

Economic Outlook

Still bearish on the bond market. May deficit report encouraging.

Energy Sector Profits Have Never Been Better (1957 To Date)

After painstakingly reconstructing energy sector stock components back into the 1950s and obtaining sales and earnings data also back to the 1950s, we were able to produce a long term study of profit margins in the oil patch.

Further Upside In Integrated Oil?: Analysts’ EPS Estimates Still Appear Too Conservative

Revised forecasts again appear to be too conservative given prevailing spot and futures prices.

Half Time Equity Group Review– Checking In On The Year’s Leaders And Laggards

Half Time Report: What’s “Hot” and what’s “Not”. Group leaders and laggards for YTD, Q2 and June market action.

Industrial Metals Stocks: Metal Equities Bounce In June, But Group Falls To ‘High Neutral’

We may be nearing a crossroads with our long-term holding in the Industrial Metals equities group.

Inflation Watch

After a brief dip, project twelve month CPI to accelerate to about +3.8% by year end.

Riding The Rails - New Select Industries Group Position

Buying new position in Railroad stocks, to replace deactivated Steel and Agricultural Product groups.

Stock Market Performance After Fed Rate Hikes

Stock market performance over a variety of time frames after the rate hikes.

Third Year Of Bull Market...Assessing The Current Cycle From Several Perspectives

A comparison of the performance of the current stock market recovery to the monthly performance averages of past recoveries (1900 to date and post-WWII era).

View From The North Country

A recap of the year so far, and our outlook for the second half of 2005.