Every investor wants to cut through the noise, and clear away the static of the market signals, but there are thousands of companies trading on the markets, and they put out all sorts of signs regarding their health, viability, and potential for success. Top investors will learn how to cut through that confusion to find that stock that are flashing the right signs – and show the highest potential for gains going forward.
A clear signal is needed, and one of the clearest is the pattern of insider buying. Insiders – the corporate officers, board members, and others ‘in the know’ – don’t just manage the companies, they know the details. Legally, they are not supposed to trade that knowledge, or to blatantly trade on it, and disclosure rules by government regulators help to keep the insiders honest. Their honest stock transactions, however, can be highly informative. These are…