There have been many proponents of this latest market rally. Calls of “the worst is over” and the “decline is slowing” have helped boost a market that, going back six weeks ago, was pretty oversold. Now we’re not oversold. Some buyers are returning to the market. There has been a lot of talk that much of the big money, or the funds haven’t been all in on this rally. If that were to happen, that would be a major tailwind for stocks. divbr /divBut there still are the fundamentals (who knew, right?). Earnings have done okay relative to expectations (which were pretty low). But there are companies performing well, and they will continue to do so. I haven’t participated in buying things with span class=”blsp-spelling-corrected” id=”SPELLING_ERROR_0″impaired/span fundamentals just because they were the ones hit the hardest. Things like financials, span class=”blsp-spelling-corrected” id=”SPELLING_ERROR_1″home builders/span, and span class=”blsp-spelling-error” id=”SPELLING_ERROR_2″REITs/span./divbr /br /div/divbr /br /divWhat I want to show you is a chart of insider transactions as of late. /divbr /br /div/divimg id=”BLOGGER_PHOTO_ID_5329175838716165794″ style=”DISPLAY: block; MARGIN: 0px auto 10px; WIDTH: 400px; CURSOR: hand; HEIGHT: 208px; TEXT-ALIGN: center” alt=”" src=”http://1.bp.blogspot.com/_VQGtBvsQTCg/SfUJMKxFfqI/AAAAAAAAAoQ/8xRdlhu5mv4/s400/insider.gif” border=”0″ /br /divThe chart speaks for itself. Insider selling is typically a sign that insiders feel stocks are going to fall. This isn’t always the case, but when it is this pronounced, you can usually count on it. one detractor from this thesis would be that insiders were planning to sell a certain amount of shares, but waited until stocks rallied so they wouldn’t sell at depressed prices. Although insider selling or buying isn’t a great indicator on its own, it can be a valuable tool. /divdiv/divdiv/divdiv /divdiv /divdivSo the questions needs to be asked: If the market is so strong, and the rally will continue, then why is there so much insider selling???/div/divdiv class=”blogger-post-footer”img width=’1′ height=’1′ src=’http://res1.blogblog.com/tracker/819581243324579563-6222261147537096743?l=briskycapital.blogspot.com’//div

Last 5 posts by Michael E. Brisky

• More of the Same - November 11th, 2009
• Picked up Some RHIE - November 10th, 2009
• Loews Still Attractive - November 9th, 2009
• Tii Network Technologies Reports - November 9th, 2009
• Not So Fast, Bears... - November 9th, 2009