Well, for one, not every Form 4 is important.
For instance, if a CEO just exercises his stock options after leading a company for the prescribed time…
That doesn’t tell us anything about what the share price will do.
Not only that, but Form 4’s have to be filed when insiders sell, too.
So, a large portion of them won’t tell us anything about the share price rising.
But by leveraging Wall Street’s own proprietary data platform…
We can filter out all of that useless Form 4 activity and hone in on only the insider activity that could mean a stock is about to skyrocket up.
For a Form 4 to indicate a “Buy” signal, it has to meet a couple of key criteria: