The intermarket system creation toolkit will help us create robust multidata trading systems based on the fundamental relationships of international markets. The standard correlation between markets does not help predict future prices. It is also not useful for generating profitable signals. Why? The current correlation tells us nothing about future prices or trading signals. A method that Murray developed in the mid-1990s called Intermarket Divergence allows us to measure the predictive power of an Intermarket relationship and produce 100% objective signals.
Intermarket analysis is an exciting area of market production. Market divergence isn't something that works just in some markets, but works across a wide range of markets, from bonds to groups of stocks and currencies, and even markets like gold, crude oil, live cattle, and copper. New methodologies to represent these relationships will help not only the development of the classical trading system, but also the use of advanced technologies such as the use of a finite state model that can allow machine learning methods to easily see patterns that they can be used to build more reliable models. Using these tools does not require programming skills.
In this pack come two groups of tools for the creation of intermarket systems, the tools that use intermarket divergence, and the tools that use a finite state model.
The toolkit can be used with TradeStation and Multicharts.