I think Mortgage Choice Limited (MOC) is at an inflection point where it may be the right time to buy for this portfolio. It's also got multiple triggers that's got me exited, such as:
Good fundamental reasons and why favourable conditions are just about set for this stock
On a longer term chart, MOC has hit All-Time-Lows and bounced back
On a shorter/medium term chart MOC is breaking out to the upside
So let's talk about each of those points. First the fundamentals. Since the pandemic has hit, most of MOC's customers have gone on holidays and they are about to come back in a big way. Yes, the mortgage holidays offered to customers by the banks are about to expire very soon and when they do, home owners and investment loan owners will be scurrying back to companies such as MOC to check, compare and re-finance.
I don't think there is many competitors to MOC on ASX either, so MOC is kind of a monopoly to dominate across the ASX. I could find Aussie Home Loans as a competitor, but they are not listed on the ASX.
On a long term charting perspective, MOC has bounced back from what looks like a false break of the All-Time-Lows:
On a medium term chart, it's made a breakout to the upside, which is encouraging:
I also bought a smaller stake in another stock in an area that I was researching up. I was encouraged by the take over of 3P Learning Ltd (3PL), that was offered a very nice premium to it's share price, so started searching everywhere for similar themes throughout the asx.
Although not exactly in the same online learning space for kids, I found another stock that is in the area of online security for kids. It has run up quite a bit lately and I am not a big fan of chasing stocks. Yes, I realise that might be counter-intuitive to a lot of the momentum traders and other system based traders. So anyway I decided to try my luck with a smaller position size than I would normally buy during the closing minutes of Friday's session. The company is Family Zone Cyber Safety Ltd (FZO).
They basically protect children across all devices for schools, home etc:
Although not profitable yet, this company has been growing fast. In fact the pandemic has anything but accelerated that growth it seems:
