The best indicator for American Electric Power (AEP)
We backtested 20 indicators across daily, weekly and hourly charts on real American Electric Power (AEP) history. Here's what actually worked — risk-adjusted, out-of-sample, with costs.
EMA 20/50 Cross
On the weekly chart, this is the strongest risk-adjusted edge we found for American Electric Power (AEP) over ~64.7 years — trailing buy-and-hold by 1.5% CAGR.
The winner on each chart
Every indicator, ranked
Ranked by Sharpe (risk-adjusted return). Hypothetical, fees included.
| # | Indicator | TF | CAGR | Sharpe | Max DD | Win | Trades | vs B&H |
|---|---|---|---|---|---|---|---|---|
| 1 | EMA 20/50 Cross ✓ | Weekly | 6.5% | 0.48 | -45.9% | 52.0% | 25 | -1.5% |
| 2 | SMA 50/200 Cross ✓ | Daily | 6.0% | 0.47 | -66.8% | 47.6% | 42 | -2.0% |
| 3 | EMA 50/200 Cross ✓ | Daily | 5.9% | 0.46 | -58.6% | 42.5% | 40 | -2.1% |
| 4 | Donchian Breakout ✓ | Daily | 3.9% | 0.38 | -41.0% | 48.5% | 237 | -4.1% |
| 5 | Money Flow Index ✓ | Daily | 4.3% | 0.38 | -45.3% | 79.2% | 72 | -3.8% |
| 6 | WaveTrend (8/6/4) ✓ | Daily | 4.5% | 0.36 | -51.5% | 66.9% | 239 | -3.5% |
| 7 | Holy Grail Confluence ✓ | Daily | 3.6% | 0.34 | -48.9% | 80.2% | 91 | -4.4% |
| 8 | ADX / DMI ✓ | Daily | 3.0% | 0.32 | -40.4% | 41.7% | 432 | -5.1% |
| 9 | MACD ✓ | Daily | 3.4% | 0.31 | -55.1% | 42.7% | 640 | -4.6% |
| 10 | Williams %R ✓ | Weekly | 3.5% | 0.31 | -57.1% | 77.8% | 81 | -4.6% |
| 11 | Stochastic ✓ | Weekly | 3.1% | 0.3 | -55.5% | 75.9% | 54 | -5.0% |
| 12 | Donchian Breakout ✓ | Weekly | 3.1% | 0.3 | -58.2% | 52.9% | 51 | -4.9% |
| 13 | RSI Mean-Reversion ✓ | Daily | 2.5% | 0.29 | -47.9% | 73.9% | 92 | -5.5% |
| 14 | WaveTrend (8/6/4) ✓ | Weekly | 3.2% | 0.29 | -48.8% | 73.3% | 45 | -4.8% |
✓ = held up out-of-sample. Hypothetical, costs included. See methodology.
For American Electric Power (AEP), EMA 20/50 Cross on the weekly timeframe gave the best balance of return and risk in our test. It still trailed buy-and-hold on raw return — but remember: this is a hypothetical backtest of a standard rule, not a recommendation. Markets change. See the methodology and disclaimer.
More stock
Get the weekly edge report
The best-performing indicator per asset, what changed this week, and the honest caveats — straight to your inbox.