The Konlin Letter

Konrad Kuhn's reliable economic forecasts have been extremely accurate for over three decades. That stellar record puts him among the very few market analysts who successfully predicted:

• The 1987 market crash/correction
• The 1998 "selling climax" and the 2000 NASDAQ crash
• The Y2K non-event
• The bear markets of 2001 and 2002
• The cyclical bull market of 2003
• The ongoing 7-year secular bull market in small- and micro-cap stocks
• The "07-08" Financial melt down

I'm advising all investors to prepare now for the dramatic changes in store for the economy and markets.

I can tell you with conviction that this year will be pivotal for investing. The indicators I track clearly indicate that ...

1. This market is going to rollover and catch the unprepared investor. Herd-mentality investors will be devastated. To succeed, you must break from old patterns and seek new direction.
   
   
2. The category of stocks that cautious investors trust most will lead to the greatest investing disappointments. At the same time, the Low-Price Stocks most feared by timid investors will prove to be a gold mine of opportunity. Profits will depend on your ability to spot and respond to winners early in the game.

Fed monetary mismanagement may get worse before it gets better, punishing those who miss the key signals.

For now, let me first caution you about the disaster taking place in the Federal Reserve. Ben "Helicopter" Bernanke took control of the Fed printing presses, and you do not want to be caught snoozing. The implications for your portfolio are enormous.

Is Money growth soaring or is the Bernanke Fed really tightening? I have every reason to believe it will be business as usual and the Greenspan legacy will be perpetuated or accelerated with Bernanke in charge.

If you have not done so already, you MUST be prepared for the devastation that is sure to result from Fed mismanagement and monetary policies. If things do not change dramatically (including in Congress, where decisive steps are needed to correct economic policies), your wealth is at high risk.

In addition to watching these institutions like a hawk, I'm also watching key indicators that will predict market response to evolving conditions.

At the top of my watch list is the one leading market indicator that almost no one follows. With it, I project 6 to 9 months in advance with exceptional accuracy! It also shows me where to shop for the stocks that have been the biggest profit makers of all time ...