In a week where we saw most market indices rebound sharply, insiders scaled back their buying after three weeks of elevated buying. Buying declined by 64% in absolute dollar terms and 26% in terms of the number of companies that saw insider buying. I have been monitoring a select group of technology growth companies to see at what point insiders of these companies might stop selling and start buying instead. Despite the huge declines in their stock, insiders continue to sell. This does not give me a lot of confidence that the rally we saw last week marked the end of the bear market but feels more like a bear market rally from temporarily oversold conditions. Obviously there is no way to know for sure and we will find out if that is indeed the case in the coming months. I was looking into Zillow (NASDAQ:Z) recently and was surprised by just how many members of the management team continued selling the stock and in many cases below their recent option exercise prices as I tweeted out on Friday.
