Insider activity is a little lower than normal for this time of year. We usually see a flurry of buying near the end of the year as insiders bulk up their holdings in anticipation of strong results over the next year. This has not happened this year.

The ratio of insider selling to insider buying is at very high levels, as insider selling has been somewhat elevated. Although we rarely take signals from individual insider sales, the buying and selling activity ratio can usually be informative. At the moment, it is at a level that has often led to technical...