- Reed Hastings (CEO, Netflix) sold $15M of his shares 2 days before a class action lawsuit hit the company and the stock crashed<p>- Mark Zuckerberg (CEO, Facebook) sold $296M of his shares before the stock plunged<p>I was curious to see if I can discover patterns using SEC filings of type 4 (changes in ownership, aka insider trades) and developed a Python app to do so.<p>Do you think that's a path worth exploring further? Maybe even backtesting and developing an algo to trade on signals derived from SEC filings? Did anyone already test a similar approach using SEC filings as trading signals?<p>Python notebook (runs in your browser):
https://mybinder.org/v2/gh/janlukasschroeder/insider-trading-python-tutorial/master?filepath=%2FSEC%2BAPI%2BDemo.ipynb<p>My Medium article with more information on SEC 4 filings:
https://medium.com/@jan_5421/insider-trading-visualised-with-python-sec-api-io-5f12a7799b3e