Karim Rahemtulla, Head Fundamental Tactician, Monument Traders Alliance You know that I watch insider buying like a hawk. I look at every filing of insiders buying their own shares, and I'm constantly searching for patterns or clues. The best clue is when three or more insiders (two of which must be officers) are buying substantial amounts of stock on the open market. This is called cluster buying. The open-market trades indicate urgency. The insiders want to buy the shares NOW! And that means they feel the stock is cheap and the future is bright. They're not always right, but they're right way more often than they're wrong. |
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