The EUR 249.6 support, currently tested, should allow KWS SAAT to rally again.

From a fundamental viewpoint and on the basis of current price, the group stays well rated by Surperformance, with intrinsic strengths such as financial situation, EPS revisions and the appreciation potential of the consensus.

Technically, the security fell sharply for several weeks. This fall has led KWS SAAT towards the EUR 249.6 support area, which could become useful as a stepping stone for a technical rebound. The first target of this bullish trend is the EUR 265 resistance. Even though moving averages are still in a bearish trend, the oversold situation could encourage a renewed interest in KWS SAAT.

Thanks to the technical pattern and KWS SAAT' strong fundamentals, active investors can take a long position above EUR 250. The downside potential is limited and the timing seems perfect to benefit from a technical rebound.
The goals will be fixed at EUR 265 in a first time and then at EUR 271.
However, a bearish trend would regain the upper hand if the security crosses EUR 248.

On 31 July 2013, Surperformance, the 4-Traders' publisher, has a long position of 14 KWS SAAT' stocks bought at EUR 276.35 on 29 April 2013.