I’m sure there are so many people that trade using SEC insider trading data and I was wondering if some of y’all are open to sharing strategies you have carved out using insider trading.
The BEST strategy I have come up with so far when trading stocks is ranking insider trades based on:
1. Streak length: Must be >= 2 days of insider buying.
2. Does the number of shares bought go up the following day of buying? (Best if it does)
3. Does the insider purchase price go up the following day of buying? (Best if it does)
4. Is the total # of shares bought > the stocks 3 month volume average? (Best if it is)
5. is the insider purchase price higher > stocks previous closing price? (Best if it is)
I’m mainly trading stock but have also considered trying it out with options as well…if you use insider data to trade options I would really love to pick your brain a bit.
Hope to hear what y’all do with insider trading data.