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Intermarket Analysis Resources?

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Berlin, Europe
Trading Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker/Data: Interactive Brokers
Favorite Futures: Keyboard
Fat Tails's Avatar
Posts: 9,773 since Mar 2010
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I like to look at everything, and keep an eye out for excellent setups. If I see one, I take it.

This sounds like a recipe for disaster. Intermarket relationships are really difficult to grasp, as the correlation changes all the time. The larger market participants have specialists dealing with intermarket relatiionships, and for sure they do not have equities-bond-agriculturals-energy-trade-everything-that-moves traders.

For me it is already extremely challenging, to understand and use intermarket relationships for a single commodity or contract.

Let us say I want to trade ES mini futures, and I believe that I should have additional information, not just price and volume, so I would think first about

- the underlying market -> Tick and TRIN
- the option market -> put/call ratio, ISEE, Vix
- other index futures (YM, NQ, TF)
- the dollar index (DX)
- interest rates (bonds)
- interbank rates (LIBOR) / TED-spread as a measure of risk aversion

But then, all this information should be contained in price, so some moving averages or regression indicators should confirm it.

To make money, I will stay in my niche. If I look at a greater number of markets, I will quickly be confused, as I cannot handle the information overload.

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