Super Stock Picker Forum

The Canadian Stock Market => Beginner's Guide => Topic started by: Conor on November 14, 2009, 05:52:33 PM



Title: Insider Trading Question
Post by: Conor on November 14, 2009, 05:52:33 PM
as I read about stock market analysis, the subject often comes up about seeing a lot of "insider trader" or "insider buying" as an indicator that a stock might be undervalued, or something is going to happen...

how do you tell this is going on?
Or, in otherwords... how do you know whether trade volume in a given day is "insider" or just simply public trading activity?

which of course begs the question - if there is a lot of "insider trading activity" - how do you know if these "insiders" are buying, or selling?

Thanks for any insight,
Conor


Title: Re: Insider Trading Question
Post by: bryanmcn on November 15, 2009, 05:06:08 PM
Conor
It is my understanding that any buying and / or selling by senior exes must be fully disclosed. Only small penny stocks trading on the OTC are excempt.
You can sometimes see illegal insider buying on a chart. It sometimes occurs a few days or weeks before a major news anouncement and shows up as a "blip" or a temporary bump up in the stock price with slightly higher than normal volume.
Bryan


Title: Re: Insider Trading Question
Post by: Conor on December 21, 2009, 11:00:31 PM
thanks a lot for the info..
it provides some perfect insight to insiders  ;D

I thought when I originally asked, that this seemed an important bit of info to have, when researching / deciding on companies to invest in. Those links make it all the easier!