Why Follow Insiders?
Publicly traded company insiders, which include executives, the board of directors, and those who don't fit either category but own more than 10% of shares, buy and sell company stock for a variety of reasons. When insiders sell their company's stock, it isn't necessary a bearish sign. They could be selling for any number of personal or professional reasons. Perhaps they're buying a new house or getting divorced. Maybe they're leaving the company or want to diversify their personal holdings.
Insider buying, on the other hand, is much more often a