Evidently my comments and research concerning the drying up of money coming into the economy had some merit. For some weeks now most all market activity has had a measurable price retracement. The sectors showing some resistance to this retracement are silver and crude oil.

I had intended to have the 2004 portfolio started several weeks ago, but the current portfolio had a burst of energy starting in early January. As result I received a large number of emails asking that I delay the start of the new portfolio. I have decided to leave the old portfolio on the website and add the new 2004 portfolio as a separate portfolio. I will allow attrition to do away with the old portfolio.

As of January 30, the old portfolio was up about 72%. Every stock is now in the black. I will add a stock or two to the new portfolio as I locate potentially profitable ones. All the micro caps that were recommended since September went up about 100% before profit-taking set in.

My micro stock is Golden Patriot (GPTC). I first recommended GPTC at 33 cents a share. It was about 48 cents a share the last time I checked. Some people lost money in the other micro caps that I provided in late 2003. The reason for this is they failed to follow proper money management. You always sell once a stock has given back 25% of a gain in price. If it loses 15% with little or no gain, you sell it. Remember, you must have a sell strategy in place any time you invest in the stock market.

Tune to www.gemradio.net Mondays and Fridays at 11am PST. I will share with you the basis of the seminars I attended in Nassau, Bahamas. This was a high flyer's conference. It was costly to attend and the requirement to be invited was that you have at least a million dollars, not counting your real estate. The message of the seminars was that only the middle class pay the bulk of the taxes. The rich are able to find loopholes. The info from the seminar will also be covered in the February Investment Tracker.

Kenneth Coleman