Speculative Stock Portfolio

[aus_trader]

I've been looking at the outcome of the current stocks in the portfolio and it's clear that it hasn't been easy picking stocks for the recovery. Some have given back all the recent gains plus some e.g. BIN.

So I am looking for stocks which not only could offer some general economy based recovery but also specifically targeted to benefit from the pandemic, call them 'pandemic stocks' if you like. Some changes are likely to become part of the future and one of those things is remote/online learning.

I have been researching stocks in this space and I quite like the Children's online Education company 3P Learning Ltd (3PL), so bought some shares. They provide online learning programs like Mathletics and Reading Eggs to improve children's Literacy and Numeracy skills. Due to constant distractions as a result of shut downs, it becomes increasingly difficult for Schools to provide the consistent learning environment based in classrooms. Therefore companies like 3PL are gaining traction as alternative learning tools that Children can use from home. 3PL has recently won a $10m contract which will add to their revenue:



Open Portfolio:

 

[qldfrog]

Nice pick

 

[flash007a]

Bought Bingo today.

Been waiting on the sideline for a while at the current SP.

@aus_trader - I know you are making a small loss with Bingo. Will you be thinking of selling if it goes down further?

 

[Telamelo]

Mayne Pharma Group (MYX) getting noticed/some coverage as Lazard (substantial holder 07/07/20) tops up with $6.5M worth of shares over recent week's.

https://kalkinemedia.com/au/us-shar...der-discussion-3-things-you-might-have-missed

MYX - Very nice strong finish of 44.5c +3.49% (it's day high!) and more importantly, finally closing above it's 200 dma (of 43.2c) so onwards and upwards from here.

1 yr chart shows a big "open gap" b/w 50-55c that sooner or later should get filled imo dyor

 

[aus_trader]

Bought Bingo today.

Been waiting on the sideline for a while at the current SP.

@aus_trader - I know you are making a small loss with Bingo. Will you be thinking of selling if it goes down further?

Yes, I have been patient with this stock and thought it may start heading back up. I also thought this stock is a good proxy to the state of the economy and how well the recovery is going. Given BIN's performance, I am more convinced of my cautious view, therefore BIN was let go from this portfolio today.

Biggest movers are once again the Fintech Tech stocks, where a junior is in this portfolio. There is sporadic fireworks amongst different stocks in this sector and today it came from Sezzle Inc (SZL), which went into a Trading Halt after a massive run:


Closed from Portfolio:

 

[Telamelo]

Mayne Pharma Group (MYX) getting noticed/some coverage as Lazard (substantial holder 07/07/20) tops up with $6.5M worth of shares over recent week's.

https://kalkinemedia.com/au/us-shar...der-discussion-3-things-you-might-have-missed

MYX - Very nice strong finish of 44.5c +3.49% (it's day high!) and more importantly, finally closing above it's 200 dma (of 43.2c) so onwards and upwards from here.

1 yr chart shows a big "open gap" b/w 50-55c that sooner or later should get filled imo dyor

MYX appears to be in a "medium-term rally" confirmed by multiple indicators. Most importantly, the 5-day moving average is above both the 20 and 50-day moving averages. Furthermore, it bounced off it's 200dma critical support level yesterday in sp closing just above it.

 

[Telamelo]

MYX appears to be in a "medium-term rally" confirmed by multiple indicators. Most importantly, the 5-day moving average is above both the 20 and 50-day moving averages. Furthermore, it bounced off it's 200dma critical support level yesterday in sp closing just above it.

Great to see MYX sp passing above the 200MA. Could use some big funds being interested at entering at these price levels. Load up and wait imo. Golden cross in sight!!
Nice strong green candle today! DYOR

360 buyers for 8,808,887 units vs 244 sellers for 5,214,403 units

 

[aus_trader]

Oil price seems to have tapered out after the big recovery run from the century lows...



I am disappointed with the Oil play BPT's performance, like others e.g. WPL, it hasn't really lifted to heights that I was expecting. I bought BPT as a possible high performer (leveraged play) to Oil price recovery, but after running up a bit it has headed back down making Lower-High Lower-Low's, therefore it was sold today.

Recent Closed Positions:

 

[aus_trader]

Decided to lock in profits for one of the Gold plays in the portfolio. Kind of each way bet: if prices fall from here then at least one stock has locked in profits but if prices rise from here then there is still one stock exposed to higher Gold prices.

Looking at the charts, I thought the chart for Gold Road Resources Ltd (GOR) looked a bit toppy/risky in the short term (see chart explanation below), so that was sold to lock in profits.



Recently Sold:

 

[Chronos-Plutus]

This might help some people for selecting speculative mining stocks, not financial advice, just some basic information:

https://www.visualcapitalist.com/ho...akes-with-mining-stocks-part-2-business-plan/

 

[aus_trader]

Some really good information when assessing mining companies and mining hopefuls Chronos-Plutus. Thank you for posting.

 

[Chronos-Plutus]

Some really good information when assessing mining companies and mining hopefuls Chronos-Plutus. Thank you for posting.

I thought it was a good overview. Anyway buddy, I am going to get some rest.

 

[aus_trader]

Great announcement today by 1st Group Ltd (1ST) of a long-term partnership with Buy-Now-Pay-Later (BNPL) firm OpenPay Group Ltd (OPY). I have highlighted the benefits that will flow through to 1ST in the announcement:


Share price got a boost today and was up 100%'s of percent during the spike that subsided later in the day. I don't trade intra-day spikes usually unless it's a worthwhile take-over, but this is setting up 1ST in a very good position for the medium to longer term, especially as a pandemic play in this portfolio.

 

[aus_trader]

Market is inching higher, but there are pockets and individual sectors of the market that are showing strength and powering along with the recovery. But is the price rise due to being swept up by the overall rise of the markets or is there some oomph under the hood ?

It has been the theme lately to try and pick the stocks that may do well despite the current health situation or even benefit from it, hence naming them as 'pandemic plays'.

I have seen the strength of the gambling/betting stocks of late, they kept popping up in the strongest movers list every few days just like today:



So I decided to take a look at the nuts and bolts. Quickly skipping through the multi-billion dollar usual suspects in the betting/wagering/gambling/punting scene, I narrowed my search down to two possible picks in the smaller end of town:
1. Pointsbet Holdings Ltd (PBH)
2. Betmakers Technology Group Ltd (BET)

Both are good to be put into this portfolio as they are each diversified in international markets such as Australia, USA and UK etc and they even collaborate with each other on certain deals:



As PBH is nearly approaching $1bn market cap, I decided to buy the minnow BET which is still under $300M. So does it tick the boxes as a pandemic play ? Having a look at the latest announcement, BET is increasing it's revenues rapidly even in this environment, so it qualifies easily without me guessing the impact on the company, as per announcement:



Open Portfolio:

 

[vishu20]

is Sezzle(SZL) price is going up after the announcement today? Do i hold or sell now?
Thanks

 

[aus_trader]

is Sezzle(SZL) price is going up after the announcement today? Do i hold or sell now?
Thanks

It really depends on whether you want to take short-term profits or hold for the medium to longer term. If you are really worried take some profit by selling a part of the shares and hold the rest. Best of luck

I don't hold SZL in the portfolio as can be seen above since the only similar small cap in that Fintech space that I hold is QFE that has done pretty well so far...

 

[aus_trader]

As part of the Alkane Resources Limited (ALK) spin off, the newly listed Australian Strategic Materials (Holdings) Ltd (ASM) shares appeared in my brokerage account a couple of days ago.

Having watched the massive fall in those freely allotted ASM shares yesterday, I decided to put them on sale first thing this morning 'on market' and were sold.

Recent Sells:

 

[aus_trader]

Took profits on Alkane Resources Limited (ALK) as the Gold price has pulled back sharply.

Closed:


Added a position of the good-old Cabcharge Ltd, now called A2B Australia Ltd (A2B). It was smashed in terms of revenues when the pandemic first hit. Now reporting that it is recovering from that initial shock and revenues are growing at a healthy pace both locally and overseas except Vic which is in a full-on lockdown. Hopefully Vic will contribute to growth of A2B as well in the near future...



Open Positions:

 

[aus_trader]

I could hold out for a long while (Till Dec) in possible anticipation of a higher takeover bid, but decided to take what's currently on offer on the market (which is 1c lower than the takeover scheme cash offer of $1.35) for 3P Learning Ltd (3PL).

That way I could re-deploy these profits onto other stock opportunities that could arise in the near future...

Recently Closed Positions:

 

[aus_trader]

I found there is a bit of a feeding frenzy at the microcap penny stock end of the market at the moment and I am not able to put these fizzy rattlers on this portfolio as the volatility is crazy. I'll be kicked out of positions in no time and they'll blast off to the moon laughing off their butts at me.

To provide an example of the volatility, I took a minimum quantity position (a mere $500 stake) on Buddy Technologies Ltd (BUD) recently. It went down about 30% over the last couple of days and it's back up nearly 20% in one day today:



Every now and then I take these type of trades that are too erratic for this thread, but I may mention them in their respective penny stock threads such as the Silver penny stock Silver Mines Limited (SVL) that has doubled on my initial stake as of now, but having to sit through nearly 50% drawdowns while holding it over a period of time.

On the other end of the spectrum, I have also looked into buying a few long term stocks that have had big drops in their share prices due to the pandemic situation. I have purchased an airline stock today that I think will survive the pandemic and prosper once the world overcomes it. I don't know what draw downs I will have endure but I plan to hold it, so not suitable for this trading portfolio. I have put it in the Medium/Longer Term Stock Portfolio.