Monday, March 06, 2006

Insider Activity Predicting Slowdown Ahead?

Above chart displays the number of companies with net insider purchases of the company stock. The "net insider purchase" companies are companies where insiders bought more shares than they sold.

This chart is alarming. The number of companies with net insider purchases is almost approaching zero. Is smart money leaving the market?

Chart Source: Form 4 Oracle Insider Trading


Anonymous said...

And the New York Stock Exchange is going public. Doesn't that look like the ultimate insider sell?


Anonymous said...

It's a cumulative chart by month and you posted on March 6th, which means that you should probably increase March's value by roughly 5 times to do a real comparison.