Darrell Jobman, a 40 year market veteran including his role as the editor of Futures Magazine in the 1970s and 1980s, recognized early on that Lou Mendelsohn was a visionary in the trading world with his ground-breaking articles on strategy back-testing software and later intermarket analysis that eventually lead to the development of TradeShark.
The genesis of TradeShark was over forty years ago when one fish decided to swim upstream and challenge the current waters of technical analysis. That fish, Louis Mendelsohn, founder and chief executive officer of Market Technologies (the parent company of TradeShark), has revolutionized the trading software industry.
Mendelsohn started trading stocks and commodities in the 1970s and with the onset of computers, began developing technical analysis commodity trading software for his own use and licensing it to other traders to help him defray his development costs.
In May 1983 he released ProfitTaker Futures Trading Software, the world’s first commercially available technical analysis trading software that performed strategy back testing and optimization on PCs. Even at that time his back testing was so sophisticated and intricate that it handled nuances specific to commodities trading including contract rollovers and lock limit conditions.
With growing and favorable media exposure, Mendelsohn became known as the pioneer of strategy back testing in trading software. This set off a competitive arms race of products modeled after ProfitTaker, thereby laying the foundation for today’s multi-million dollar technical analysis trading software industry.
In the mid-1980s, while continuing to improve ProfitTaker, Mendelsohn noticed subtle structural changes occurring within the global financial markets. This phenomenon involved the dynamic interconnections between related global markets that he believed, if quantified and incorporated into computerized trading strategies, had the potential to totally transform technical analysis, from its historically narrow, single market focus of analyzing each individual market by itself, into a broader, global, multi-market or ‘intermarket’ analytic framework.
The more he delved into this phenomenon involving these interconnections between markets, the more he realized that the prevailing single market technical analysis approaches and the lagging indicators still being used, many of which had been developed years and even decades before personal computers were invented and applied to technical analysis, would soon become outdated and obsolete as the ‘globalization’ of the financial markets continued to unfold. Determined to maintain his reputation as the leading pioneer in technical analysis trading software development, Mendelsohn sought to find a mathematical way to perform technical analysis on global market data related to the intermarket effects of related markets, instead of continuing with trading software development oriented toward the limited single market approach still being followed by his competitors.
By 1986 Mendelsohn had developed an entirely new approach to computerized technical analysis for this new global environment. His research focused on the quantification of global market data related to the intertwined dynamics taking place between related markets - including crude oil, gold, currencies, interest rates, stock indices and other physical commodities. The goal was to be able to create leading technical indicators that could give traders an advanced warning of impending trend changes in a specific target market (based on these intermarket dynamics) before they actually took place.
Amid the global turmoil following the October 1987 stock market crash, while his competitors were still playing catch-up, Mendelsohn focused on the intertwined nature of the financial markets (years before the phrase ‘global economy’ came into usage). In 1988 he released the first commercially available intermarket analysis software in the world for PCs. This software analyzed the global interconnections of financial markets and provided trend direction forecasts that were based on how the markets affected each other.
Shortly afterwards, in the late 1980s he began applying a computerized artificial intelligence capability known as neural networks to intermarket data to find hidden patterns and relationships in global market data and then use these patterns to predict future prices and trend directions of various global financial markets. This led to his introduction in 1991 of VantagePoint Intermarket Ananlysis Software, the world’s first intermarket analysis trading software utilizing the pattern recognition capabilities of neural networks.
For more than two decades Mendelsohn has been collaborating with his research team, the Predictive Technologies Group, to delve deeper into the application of neural networks to intermarket analysis. Throughout this time, the team of scientists, engineers and programmers have continued to refine and expand VantagePoint’s functionality and improve its predictive accuracy, while continuing to license it to traders all over the world.
In 2009, Mendelsohn submitted two applications to the U.S. Patent Office for patents covering these inventions .Patent Number 8,442,891 was granted to Mendelsohn on May 14, 2013 covering proprietary computerized processes for applying neural networks to intermarket data. The second patent application involving the invention of predictive technical indicators was approved in late 2013.
With the release of TradeShark, based on these proprietary technologies, Mendelsohn’s Predictive Technologies Group has taken computerized technical analysis to a new height – by effectively outdating all other computerized technical analysis approaches that continue to be mass-marketed to individual traders with dubious performance result.
TradeShark’s approach to intermarket analysis and trend forecasting is unrivaled. It is the culmination of four decades of dedicated research and development and a lifelong passion to create the most robust personal computer-based predictive trading software on the planet.
Lou Mendelsohn’s journey from hospital administrator and part-time trader to pioneer in the trading software industry begins in the 1970s and 1980s with his extraordinary vision about the future of both computers and global market relationships.
TradeShark is the fulfillment of Louis Mendelsohn’s life time vision -taking the sophisticated process of neural networks and making the outcome simple and easy for the average trader to understand.