WEDNESDAY WEALTH RECAP
- Fortune has repeatedly deemed this grocer one of “the world’s most admired companies.” Alexander Green attributes the company’s success to its leaders' commitment to the people they lead and the customers they serve.
- Although artificial intelligence can provide insights that a human stock picker can’t, Nicholas Vardy explains why investors shouldn’t rely on AI-driven investing tools.
- The founder of Manward Press, Andy Snyder, reminds readers that gold isn’t just shiny… it’s also valuable. There’s a reason he’s buying it…
Editor’s Note: Alexander Green is a big proponent of insider buying. He’s even said that “insider buying isn’t just valuable information. It’s the best buy signal you can get.”
Karim Rahemtulla, Alex’s friend and the Head Fundamental Tactician of Monument Traders Alliance, agrees.
In today’s article, Karim shares a unique way you can use insider buying to ignore the media spin and Wall Street head fakes… and FOLLOW THE MONEY!
He looks for specific types of buys from key executives, directors and other insiders to see what they are doing with their own money.
Tracking these buys could have led to gains of as much as 2,250% in just two weeks!
For more details on how Karim follows the money to big gains, check out his strategy here while you still can (limited time ONLY).
– Madeline St.Clair, Assistant Managing Editor
Strap yourself in because today I’m going to show you the best buy signal on the market.
The crazy thing is… most investors don’t have any idea how to identify it.
Today, I’ll show you how.
There’s just one thing to keep in mind as you read further…
This method is about following the money… to big gains.
Let’s look at a recent play on Bed Bath & Beyond (Nasdaq: BBBY).
On January 7, my insider cluster buying detector picked up on some big trading action on Bed Bath & Beyond.
I used this as an opportunity to follow the money.
I leveraged this information to make a play just a couple of days later.
I called for a diagonal spread trade, betting that insiders were onto something and that the stock was going to climb.
Boy, was I right…
Usually, insider plays take weeks or months to play out. This one played out in a matter of 12 trading days!
This shows you the power of tracking insider cluster buying.
I truly believe insider buying is the best signal in the market.
However, you must be able to read between the lines…
Below is a checklist you should follow:
- Do not buy when just one insider buys. That’s not a confirmed indication of anything.
- Note the buy-to-holdings ratio. For example, if an insider holds 20 million shares and adds 200,000 shares… that means nothing for the purposes of a short-term trade. Insider buying by a major shareholder is not a confirmed sign, either, as it could be an indication of a major holder adding to a position.
- Check the news. If the insider or insiders are buying after a bad earnings call and even worse forward guidance, it could be years before the bet pays off.
- Look for cluster buying, where more than two insiders buy at varying prices – preferably at higher and higher prices.
- Look for four or five insiders buying over a long period of time. The best indication is when most of the insiders are officers – they have more at stake with their compensation.
- Don’t pay attention to insider selling, as it is not a proven indicator. It can be the result of many factors, such as tax or estate planning, diversifying, or buying a house. But insider buying usually means one thing: There is good news ahead.
That’s it in a nutshell.
Look, the truth is this is the very best signal on the market…
Following insider cluster buying is incredibly powerful when you know what to look for.
I make trade recommendations based on insider buying in REAL TIME in my Insider Matrix service.
And I’ve delivered a 92% win rate on my insider trade recommendations!
In this service, I’ll alert you when I see an insider buying signal and give you the exact trade to best profit from it.
No need to sit at your computer and scan webpages all day.
Ready to see how it works? Click here.
Yours in smart speculation,
Karim
