Insider Sales to Buys Ratio: Signal Working
By Paul Price of Market Shadows
The Thomson-Reuters Insider sales to buys ratio was extremely bearish in early May. The market went into selloff mode within days of the ratio turning bearish. In late June, the signal turned the most bullish it's been since last November. The stock market's been on an uptrend ever since.
This relatively short-term (weeks to months) indicator has been working well.
The insider trading action has returned to somewhat bearish territory.