I was able to achieve this by handling the 'CellLoaded' event for the RadGridView control. Here is the event handler pseudo code:
void GridView_CellLoaded(object sender, Telerik.Windows.Controls.GridView.CellEventArgs e)
RadGridView gridView = sender as RadGridView;
// Iterate through gridView.Items
// Determine if the item is for the new row being added to the gridview
// The following line will ensure the RowIndicator is moved to the newly added row.
// Set gridView.SelectedItem = item;
I don't think the RadGridView allows to change the SelectionMode by cell. The only 3 values for it are Extended, Multiple and Single which is for single/multiple selection primarily.
Hope this helps.