Retail Investors Keep Buying as Insiders Keep Selling

Thanks to inflation, a penny stock today is considered any stock trading under $5 per share. That’s also the price where institutional investors are cut off from owning a stock – it’s just too low a price and it’s too easy for big money to buy shares.

But that isn’t stopping retail investors from buying sub-$5 stocks – and now, true penny stocks trading under $1.00.

Today, a whopping 47% of all market volume is in sub-$1 stocks:

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As mentioned in this morning’s Swan Dive, Regencell Bioscience started the year as a penny stock, trading as low as $0.09, split-adjusted.

It’s now been the best market performer year-to-date – even without any positive corporate developments to point out – just pure retail buying. (We also strongly urged you not to buy the stock.)

In the meantime, company insiders are now picking up the pace of their sales:

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Of course, insiders have many reasons to sell, from putting a kid through college, paying for a messy divorce – or just the good old-fashioned opinion that their shares are overvalued.

These two trends suggest that retail investors are getting ebullient, while the insiders who know their company’s value inside and out are hitting the cash register.

~ Addison

Good News for Stocks

50-year Wall Street veteran, Marc Chaikin is stepping forward to share why history gives him 90% historical confidence that stocks will end 2025 up. However, he also has bad news: the same data also tells him the REAL market crash will likely arrive in 2026. Click here to see the month and day he estimates it will begin.

P.S.: Looking for small-cap companies that are driven by fundamentals and not just retail sentiment?

Consider joining our Portfolio Director Andrew Packer at the Rule Investment Symposium in Boca Raton on July 7-11, 2025. Click here to attend and meet your future cutting-edge resource investments face-to-face.

And for paid-up members: Be sure to join us for Grey Swan Live! tomorrow, June 19, 2025. It’ll be Juneteenth, and we’ll be discussing international investing, value investing, and how to find massive stock winners over time with Chris Mayer. Chris is always a good conversation.

As always, your reader feedback is welcome: feedback@greyswanfraternity.com (We read all emails. Thanks in advance for your contribution.)

But that isn’t stopping retail investors from buying sub-$5 stocks – and now, true penny stocks trading under $1.00.

Today, a whopping 47% of all market volume is in sub-$1 stocks:

Turn Your Images On

As mentioned in this morning’s Swan Dive, Regencell Bioscience started the year as a penny stock, trading as low as $0.09, split-adjusted.

In the meantime, company insiders are now picking up the pace of their sales:

Turn Your Images On

Of course, insiders have many reasons to sell, from putting a kid through college, paying for a messy divorce – or just the good old-fashioned opinion that their shares are overvalued.

These two trends suggest that retail investors are getting ebullient, while the insiders who know their company’s value inside and out are hitting the cash register.

~ Addison

Good News for Stocks

P.S.: Looking for small-cap companies that are driven by fundamentals and not just retail sentiment?

As always, your reader feedback is welcome: feedback@greyswanfraternity.com (We read all emails. Thanks in advance for your contribution.)

Let’s peel back the layers of this precious metals bull market by analyzing the pricing action on the charts, which contains ALL the buying and selling.

Most people love a good narrative, and they use these stories to either reinforce their biased views or to explain away price action that they don’t agree with.

They are just stories, though, even if there are elements of truth embedded within them. We can utilize charts to remove this biased narrative and noise.

Over the longer term, the pricing that populates charts truly incorporates the total buying and selling from all central banks, financial institutions, ETFs, hedge funds, whale investors, and the rest of the retail investors.

Yesterday’s CPI showed prices still ticking up—2.7% year-over-year, right in line with expectations.

Wall Street expects at least two rate cuts in 2026. At the same time, global central banks — led by China and Russia — continue buying gold to reduce their reliance on the dollar. Combine this with supply chain reshoring and increasing geopolitical tensions, and metals have emerged as both a hedge and a haven.

Between a precious metals rally catching the attention of outlets as lilywhite as Bloomberg and the Trump administration’s 2026 focus on critical minerals and domestic production, there’s a lot to unearth in the natural resource sector.

Today’s chart of inflation reflects an eerily similar path to the 1970s. The last CPI reading ticked back up 2.7%. If prices today continue to track those of the 1970s, the next wave of inflation could see prices rise higher and faster than during the 2021/2022 bout.

Yesterday, gold notched another new record high of $4647. Its slimmer, svelte cousin, silver, set a new historic high of $92. Both monetary metals are reflecting the market fear that once inflation gets started, it’s very difficult to contain.

Sunday night, Powell addressed the probe head-on in a video post — a rarity. He accused the White House of using cost overruns in the Fed’s HQ renovation as a pretext for political interference.

The White House denied involvement. But few in Washington believed it.

What followed was bipartisan condemnation of the investigation. Greenspan, Bernanke, and Yellen co-signed a blistering rebuke, warning the U.S. was starting to resemble “emerging markets with weak institutions.”

Let’s peel back the layers of this precious metals bull market by analyzing the pricing action on the charts, which contains ALL the buying and selling.

Most people love a good narrative, and they use these stories to either reinforce their biased views or to explain away price action that they don’t agree with.

They are just stories, though, even if there are elements of truth embedded within them. We can utilize charts to remove this biased narrative and noise.

Yesterday’s CPI showed prices still ticking up—2.7% year-over-year, right in line with expectations.

Sunday night, Powell addressed the probe head-on in a video post — a rarity. He accused the White House of using cost overruns in the Fed’s HQ renovation as a pretext for political interference.

The White House denied involvement. But few in Washington believed it.