Insider Trading
Market Analysis
Definition
Legal trading by corporate insiders (executives, directors, employees) in their company's stock, which must be reported to regulators and can provide insights into management confidence in business prospects.
Key Points
- Must be reported within 2 days
- Insider buying often bullish signal
- Selling can have various motivations
Examples
CEO buying shares signals confidenceHeavy insider selling may warn of problemsQuick Info
Category
Market Analysis
Related Topics
corporate insiders
sec filings
sentiment indicators
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