*Kaveri Seed (KSCL) - A short term technical perspective*
KSCL was in the limelight during QIFY18 results time when the share price zoomed from Rs.620 to a 52-week high of Rs708. The stock encountered distribution/selling at that level and tanked all the way down to Rs.498 in spite of posting the best ever results, typifying the adage- "sell on good news". Undoubtedly, such a steep fall could have been triggered due to the exit of some big stake holder in the company's share portfolio. After the steep correction, the stock is consolidating in the range of Rs.520 & Rs.570 and is positioning itself to go past the upper band. It looks that the present consolidation will trigger an up move which will initially take the share price to Rs.600-620 and then to Rs.640 and Rs.680 levels. On the downside, the stock gets firm supports at Rs.520 and Rs.480. Though the stock has been under performing the index for the last one month or so, I expect the stock to move in tandem with the broader market...
G R CHARI