All posts by Murray Ruggiero

Seasonal Strategies Built The Right Way

Many commodities, and even some individual stocks or stock groups, have recurring fundamental factors that affect their prices. These forcescan be seen by analyzing a market by day of week, day of month, or day of year. This is called seasonal trading. Almost everyone who did seasonal analysis back in the 1990’s made a big mistake. […]

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ARIMA/GARCH – Straight Out of the Lab to the Trading Scene

Arima/Garch hybrid model is one of the hottest area of research for both time series forecasting as well as modeling markets. I have spent over a year working with this methodology. Large Institutional Traders and Hedge funds are researching methods like this. In my opinion, your days are numbers as a trader if you don’t […]

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Intermarket State Divergence

For the past 20 years I had been teaching my concept of Intermarket Divergence for generating trading signals. You can learn about this concept in a previous article, “Intermarket Divergence – A Robust Method for Signal Generation”. I developed this concept because most of my intermarket work was based on the future’s market and using […]

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The Power Of One, Two, Three!

An example of combining different classes of assets improves returns and reduces riskMany people begin their trading endeavor by trading a single system. This is a great stepping stone to becoming a successful trader, but you can’t rely on a single system. Why? Trading systems naturally ebb and flow much like the market. Sometimes they […]

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Secret Weapon of Stock & ETF System Development

This is the second article in a two-part series where I discuss the top three pitfalls when backtesting Stock & ETF trading systems. In the first article, The Top Three Pitfalls of Stock and ETF System Development, I highlighted the top three issues system developers face. In this article, I’m going to show you how […]

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The Top Three Pitfalls of Stock And ETF System Development

During my nearly 25 years of experience in the trading business, I have talked to many traders about system development. Futures trading systems and back-adjusted contacts are fairly well understood. Recent issues with the pits closing and markets being only electronic have created some issues but it’s still relatively straight forward to design a trading […]

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Intermarket Divergence – A Robust Method for Signal Generation

Intermarket relationships between 2007 and 2009 for the S&P 500

Many markets are interrelated. These interrelationships can offer predictive capabilities for many markets. The study of these interrelationships is called intermarket analysis. In this article I will briefly explain a robust method for generating robust signals for a wide range of markets. I will also offer a free TradeStation tool to help you explore intermarket […]

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The Road to Finding Intermarket-Based Turning Points

I developed the concept of intermarket divergence approximately 20 years ago. It has proved to be a powerful concept since then. Reflecting back to 1995, I realized that the development process was interesting. I was developing many futures-based trading systems then. The problem with futures is that most backtests and systems are based on continuous […]

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Development of Intermarket Trading Systems

In my past article, Intermarket Is Fundamentally Sound,  I covered some of the basic premises and history of intermarket trading systems. While the previous entry was more theoretical, this article is more practical. Indeed, I will be discussing how intermarket analysis can be used to generate mechanical signals. I will also walk you through the […]

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Intermarket Analysis is Fundamentally Sound


Intermarket analysis is a powerful tool that a trader can use to get an edge on the market. This type of analysis can be thought of as a type of instantaneous, fundamental analysis, which if done correctly, is a form of arbitrage. In this series of articles, we will show how and why intermarket analysis […]

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