I took a small position in WZR today because its chart is telling me it might have a target of $0.265. I'll buy more if it gets to $0.22
As one who spent 50 years in the finance industry, specialising in what they call "non-conforming" finance (being those transactions that don't conform to what the Banks expect in a loan) I wish them well but I think their business model is challenged for a range of reasons. You can't compete with the Banks in this sector without increasing risk and consumer personal loans is a really risky business to start with. Many have tried and failed in the past and even if you do everything right the (nanny state) consumer legislation we have in this country makes debt recovery all but impossible.
It's very easy to write business in this sector and it takes a while for the losses to come out of the woodwork - but come they will. So I'd expect WZR to possibly do well in the short term but struggle long term.
I only invest based on what the charts tell me and do very little fundamental research so if I've got an incorrect view of what WZR's business model entails from my very brief read of their web site - I apologise in advance.
