This company - Kaveri Seeds has been a darling of a lot of Value Investors in the last couple of years.
Even after a dorp of 50% from top it is still up 5x in last 3 years. So the love with the stock has been very beneficial.
For someone like me who is writing it - Its a case of Angoor Nahi Mile to Khatte
My old post on Kaveri Seeds in 2010 - ( now u tell me how much it hurts in hindsight but the stock did nothing for a year or more )
If that was not enough i missed another chance to double my money if i had bought on the correction to expected support zones - Kaveri - Breakdown or Correction
Very recently in a lot of my tweets had warned about how #KaveriSeeds was showing some very bad signals technically.
#KaveriSeeds that price at 700 is critical but somehow it doesnt look good but am always wrong at finding tops. pic.twitter.com/AfqqAofopP
— Nooresh Merani (@nooreshtech) July 1, 2015
Another tweet
No holdings in #KaveriSeeds but the stock has now broken the support zones of 700-720 which held last time about the #foodbiz thing.
— Nooresh Merani (@nooreshtech) August 12, 2015
And the very recent one last week
Looking at the chart of #Kaveriseeds technically seems - Kuch to Locha Hai - but there are so many guys long hope its not.
— Nooresh Merani (@nooreshtech) August 14, 2015
This is how the chart looks now.
The last major support is now at 500.
If that breaks on a closing basis there would something seriously wrong ( And i have done no fundamental study of the business so have no view whether things good or bad ) . Anyways when trends break they dont reverse in a jiffy. So I would prefer to wait then catch a falling knife. Wait out let things stabilize.
I hope and pray there is nothing wrong with the business or the company given that a lot of investors are long on it and the stock goes back up.
#Disclosure - No Short Positions on the Stock ( Wish i had ) . No Long Positions and no intentions too.
