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Weekly Market Update 10-21-18

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Disclaimer: The informationcontainedon thisnewsletter is formarketingpurposesonly. Nothing contained in thisnewsletter isintendedtobe,norshallitbeconstruedas,investmentadvicebyPhoenixCapitalResearchoranyofitsaffiliates,norisittoberelieduponinmakinganyinvestmentorotherdecision.Neithertheinformationnoranyopinionexpressedonthisnewsletterconstitutesandoffertobuyorsellanysecurityorinstrumentorparticipateinanyparticulartradingstrategy.Theinformationinthenewsletterisnotacompletedescriptionofthesecurities,marketsordevelopmentsdiscussed.Informationandopinionsregardingindividualsecuritiesdonotmeanthatasecurityisrecommendedorsuitableforaparticularinvestor.Priortomakinganyinvestmentdecision,youareadvisedtoconsultwithyourbroker,investmentadvisororotherappropriatetaxorfinancialprofessionaltodeterminethesuitabilityofanyinvestment.OpinionsandestimatesexpressedonthisnewsletterconstitutePhoenixCapitalResearch'sjudgmentasofthedateappearingontheopinionorestimateandaresubjecttochangewithoutnotice.Thisinformationmaynotreflecteventsoccurringafterthedateortimeofpublication.PhoenixCapitalResearchisnotobligatedtocontinuetoofferinformationoropinionsregardinganysecurity,instrumentorservice.Informationhasbeenobtainedfromsourcesconsideredreliable,butitsaccuracyandcompletenessarenotguaranteed.PhoenixCapitalResearchanditsofficers,directors,employees,agentsand/oraffiliatesmayhaveexecuted, or may in the future execute, transactions in any of the securities or derivatives of any securities discussed on thisnewsletter. Past performance is not necessarily a guide to future performance and is no guarantee of future results. SecuritiesproductsarenotFDICinsured,arenotguaranteedbyanybankandinvolveinvestmentrisk,includingpossiblelossofentirevalue.Phoenix Capital Research, OmniSans Publishing LLC and Graham Summers shall not be responsible or have any liability forinvestment decisions based upon, or the results obtained from, the information provided. Phoenix Capital Research is notresponsibleforthecontentofothernewsletterstowhichthisonemaybelinkedandreservestherighttoremovesuchlinks.OmniSansPublishingLLCandthePhoenixCapitalResearchLogoareregisteredtrademarksofPhoenixCapitalResearch.OmniSansPublishingLLC-POBOX2912,Alexandria,VA22301

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TRACK RECORD: RECENTLY CLOSED POSITIONS

Toviewthefulltrackrecordofallclosedpositionsrunningbacktoearly-2015,visit:http://phoenixcapitalresearch.com/privatewealthadvisory/track-record/Toviewourcurrentopenpositions,scrolltothebottomofthisissueofPrivateWealthAdvisory.

POSITION SYMBOL BUYDATE

BUYPRICE

SELLDATE

SELLPRICE

GAIN/ LOSS

CVS CVS 5/30/18 $65.99 6/20/18 $71.73 9%PublicStorage PSA 3/23/17 $225.92 6/27/18 $227.20 5%DiamondOffshoreDrilling DO 1/3/18 $19.77 6/27/18 $21.22 7%EnergyTransferPartners ETP 8/2/17 $21.00 7/19/18 $19.91 6%UtilitiesETF XLU 2/15/18 $49.68 7/19/18 $52.56 7% BrazilETF EWZ 7/18/18 $33.67 7/31/18 $36.23 8% KlondexMines KLDX 9/20/17 $3.61 7/23/18 $2.20 -39% Walmart WMT 7/18/18 $87.86 8/16/18 $99.26 13% UltraShortBrazil BZQ 8/15/18 $54.00 8/20/18 $57.06 6% TelecomETF IYZ 8/1/18 $27.57 8/31/18 $29.68 8% AltriaGroup MO 5/30/18 $56.59 9/12/18 $63.46 12% IndiaETF(SHORT) INDA 8/15/18 $34.50 10/3/18 $31.94 7% Deere&Co DE 9/13/18 $148.87 10/4/18 $155.92 5% Russell200ETF(SHORT) IWM 6/26/18 $163.38 10/10/18 $156.57 4% VIXETN VXX 8/15/18 $33.50 10/11/18 $34.97 4% FreeportMcMoRan FCX 3/22/18 $18.30 10/18/18 $12.15 -33% UltraShortChina FXP 8/15/18 $78.71 10/18/18 $83.85 7%

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Lastweekwasperhapsthesinglemostimportantweekoftheyearthusfar.Firstandforemost,theS&P500startedtheweekbelowits200-DMAforthefirsttimein2018.Thepriorbreakofthe200-DMAinearlyAprilofthisyearwasbothshallowerandshorter.Thistimearound,themarketwasalmost2%belowthiscriticalsupportandhadbeenthereforseveraldays.Putsimply,fromatechnicalanalysisperspective,thestockmarketwasinserioustroubleasitstartedlastweek.

TradersmanagedtogettheS&P500aboveits200-DMAafterseveralattempts,butthetechnicaldamageactuallyworsenedastheweekcompleted.BoththeS&P500’s50-DMAand200-DMAarenowmovingdownward.The50-DMAinparticularwillrepresentMAJORresistanceifbullsareabletogenerateameaningfulruntotheupper2,800s.Bythelookofthings,thisisincreasinglyunlikelytooccur.

Weekly Market Update 10-21-18

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Putsimply,theUSmarketsareinserioustrouble.WehaveenteredaclimateinwhichREALsellingpressureisoverwhelmingtradergamestothepointthateventheusualoptionsexpirationmanipulationcouldn’tgeneratedasustainedrallylastweek.Indeed,theMomentumETF(MTUM),whichtrackstheperformanceofthebestperformingmid-andlarge-capUSstockshasbrokendowninaBIGway.LastweekmarkedabounceoffofCRITICALsupport,butthischartistellingusthatUSstocksarelosingmomentumFAST.

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Inotealsothatthemostimportantmarketleaderslooklikeabsolutegarbage. Nvidia(NVDA)wasthe#1topperformingstockfortheS&P500inthelastthreeyears.Thecompanynowhasaconfirmedbreakdownbelowits200-DMA.Themomentumhereiscompletelygone.Thisstockisgoingtosub-$200.

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Let’sgoshorthere,butkeepthispositionsmall.ActionToTake:ShortNvidia(NVDA).Apple(AAPL)isanothermarketleaderthanlookslikeabsolutegarbage.ThestockisbarelyclingingtosupportwithMASSIVEnegativedivergenceonitsrelativestrength.

Wearealreadyshorthere.Let’sdoubledownonthispositiontoaverageinabetterprice.ActiontoTake:AddtoyourApple(AAPL)shorts.I’llbeusingtheaverageofthispriceandtheoriginalpriceasthenewstartingpriceforthisposition.

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Amazon(AMZN)hasbrokenabearishrisingwedgeformation.ItalsohasnegativedivergenceonitsRelativeStrengthIndex.

Again,thisisaformermarketleaderthatlooksAWFUL.Netflix(NFLX)istradinginaconsolidationrangewithhorrificnegativedivergenceonitsRSI.

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Ifyouwantmoreevidencethatformermarketleadersareintrouble,considerthatthe20%rallyNFLXaccomplishedfollowingits3Q18resultswascompletelyerasedlastweek.Andfinally,theentiresemiconductorindex(SOX)hasbrokenoutofamassivetriangleformationwithTERRIBLEnegativedivergenceonitsRSI.

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Putsimply,theUSstockmarketisinVERYserioustrouble.Whilethepotentialforanewfinalblowofftoptonewhighsisstillthere…theoddsofitoccurringareshrinkingbytheday.TheoneitemthatUSstockbullscanclingtoisthefacttheS&P500’sGrowthETF(IVW)whichtracksgrowthstocks,hasyettobreakbelowits200-DMA.Buthereagainthetechnicalpictureisquiteugly.

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OutsideoftheUS,EmergingMarkets(EEM)putinahigherlowlastweek.Icontinuetobelievethislastbreakdownisabearishoverthrow.Oncethe$USDtops,we’regoingtoseea“ripyourfaceoff”rallyhere.

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IsenseasimilarmovecominginChinawherewehavejustcompletedabullishfallingwedgeformation.

ThesemoveswillbetriggeredbytheUScompletingitstradedealwithChina(likelyinthenexttwoweeks)andthe$USDtopping(ditto).Onthatnote,the$USDhasjustcompletedabearishrisingwedgeformation(redlines)withintheconfinesofadescendingmegaphonepattern.Thenextmovewillbeadroptotestthelowerlineofthemegaphone.

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AndthisisgoingtobethefinalpushthatsignalsTHEbottomforpreciousmetals.ItisnowbecomingincreasinglyclearthatTHEbottomishittingorhasalreadyhit.GoldmininggiantNewmont(NEM)hasstagedaseriesofhigherlowsandhasjustbrokenaboveandheldcriticalresistance.WenowhaveenteredthegapthatwasopenedinAugust.Iexpectthistoclosebyyear-end.

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ActiontoTake:BuyNewmontMining(NEM)BarrickGold(ABX)isanotherminerwithaVERYbullishchart.Inthiscase,thecompanyhasbrokenoutofamassivebullishfallingwedgeformation.

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ActiontoTake:BuyBarrickGold(ABX)Thisconcludesthisweek’smarketupdate.Thebiggesttakeawayfromlastweek’spriceactionisthatthingsareincreasinglyNEGATIVEforUSstockswhileEmergingMarketsandPreciousMetalsareintheprocessofbottoming.I’mwatchingthemarketscloselyandwillissueupdatesasneededifanythingchanges.Barringanynewdevelopments,you’llnexthearfrommethisThursdayinourusualWeeklyMarketUpdate.AsafinalreminderPrivateWealthAdvisoryinvestsformajortrendsintheintermediateterm.Ifyouarelookingforawaytoplayshort-termmarketmovesforlarger,morerapidgains,Ialsorunaweeklyoptionstradingservicethattypicallyholdspositionsforjust2-3weeksatthemost.It’scalledTheCrisisTraderanditusesoptionstotradehighlypredictablemovesinstocksandETFsfordouble-digitgains.Sinceinception,thisnewsletterhasreturnedaverageannualgainsof41%.Typicallyasubscriptiontothisservicecosts$799.ButI’dliketoinviteanyofyoutojoinatadiscountedrateof$499(35%offtheusualmarketprice).Youcantryitfor60days.Ifyoufindit’snotwhatyou’relookingfor,youcanemailusatsupport@phoenixcapitalresearch.comandwe’llissueafullrefundofyour$499noquestionsasked.Totakeouta60day$499trialsubscriptiontoTheCrisisTraderusethelinkbelow.https://www.phoenixcapitalmarketing.com/tctrenewal499.htmlUntilthisThursday…

GrahamSummersChiefMarketStrategistPhoenixCapitalResearch

BestRegards,

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OPEN POSITIONS

STOCKS PORTFOLIO

Pricesasof10/19/18atmarket’sclose.*Gainsincludedividends

Position Symbol Buy Date Buy Price

Current Price

Change From Last Week

Total Return*

AgriculturalCommoditiesETF RJA 1/12/17 $6.46 $5.84 0%

-10%

USSteel X 3/15/18 $38.34 $27.59 -1% -28%ChinaETF ASHR 4/4/18 $30.94 $22.86 -1% -26%EmergingMarketsETF EEM 4/4/18 $47.90 $39.67 1% -17%JapanETF EWJ 4/25/18 $60.58 $56.65 0% -6%FinancialsETF XLF 6/6/18 $27.95 $26.67 1% -4%RioTinto RIO 7/18/18 $53.90 $48.61 0% -7% GoldmanSachs GS 8/29/18 $242.05 $226.96 6% -6% McDonalds MCD 8/29/18 $163.11 $167.49 3% 3% 3M MMM 9/13/18 $209.05 $199.85 2% -4% Komatsu KMTUY 9/20/18 $30.48 $27.16 -5% -11% Facebook FB 10/11/18 $153.35 $154.05 0% 0%

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BONDS PORTFOLIO

PRECIOUS METALS/ MINERS PORTFOLIO

Pricesasof10/19/18atmarket’sclose.*Gainsincludedividends

Position Symbol Buy Date

Buy Price

Current Price

Change From Last Week

Total Return*

HighYieldCreditETF HYG 3/28/18 $83.35 $84.90 0% 5%EmergingMarketBondETF

EMB 5/16/18 $108.49 $105.460%

-1%

LongTreasuryETF TLT 6/27/18 $122.11 $113.71 -1% -6%

Position Symbol Buy Date Buy Price

Current Price

Change From Last Week

Total Return*

Gold 3/17/10 $1,120 $1,230.00 1% 10%Silver 3/17/10 $16.23 $14.65 0% -10%FirstMajesticSilver AG 5/12/17 $7.43 $6.25 0% -16%Iamgold IAG 9/28/17 $6.40 $3.98 0% -38%SilverMiningETF SIL 10/4/17 $32.51 $25.06 1% -23%SilverMiningJuniorsETF SILJ 10/4/17 $11.83 $9.03 -1% -24%GoldMiningETF GDX 6/6/18 $22.58 $20.01 1% -11%GoldMiningJuniorsETF GDXJ 6/6/18 $32.99 $29.63 1% -10% HeclaMining HCLA 7/23/18 $3.39 $2.93 -1% -14% NewmontMining NEM 10/21/18 $32.19 NEW BUY! BarrickGold ABX 10/21/18 $13.18 NEW BUY!

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SPECIAL SITUATIONS/HEDGES/SHORTS PORTFOLIO

CASH/ CURRENCIES PORTFOLIO

Pricesasof10/19/18atmarket’sclose.*Gainsincludedividends**Averagepriceof$219.31and$140.92

LONG-TERM INFLATION PORTFOLIO

Position Symbol Buy Date Buy Price

Current Price

Change From Last Week

Total Return*

Apple(SHORT)** AAPL 3/23/17 $180.12 $219.31 N/A -22%UltraShortOil SCO 8/15/18 $17.51 $14.74 2% -16%SpainETF(SHORT) EWP 8/15/18 $29.04 $28.24 1% 3%Nvidia NVDA 10/21/18 $229.17 NEW SHORT

Position Symbol Buy Date

Buy Price

Current Price

Change From Last Week

Total Return*

AustralianDollarETF FXA 5/10/18 $75.13 $71.23

0%

-5%

Position Symbol Buy Date Buy Price

Current Price

Change From Last Week

Total Return*

CopperMinersETF COPX 12/21/17 $26.55 $19.96 -2% -25%ArcelorMittal MT 12/21/17 $32.77 $27.27 -2% -16%CorsaCoal CRSXF 12/21/17 $1.20 $0.82 -7% -32%UraniumETF URA 1/17/18 $14.93 $12.60 -1% -14%