The best indicator for Cocoa (CC)
We backtested 20 indicators across daily, weekly and hourly charts on real Cocoa (CC) history. Here's what actually worked — risk-adjusted, out-of-sample, with costs.
WaveTrend (8/6/4)
On the daily chart, this is the strongest risk-adjusted edge we found for Cocoa (CC) over ~26.3 years — beating buy-and-hold by 4.4% 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 | WaveTrend (8/6/4) ✓ | Daily | 10.3% | 0.54 | -70.9% | 74.1% | 108 | 4.4% |
| 2 | CCI ✓ | Daily | 8.3% | 0.49 | -49.2% | 71.4% | 140 | 2.3% |
| 3 | MACD ✓ | Daily | 7.2% | 0.4 | -54.1% | 40.4% | 250 | 1.3% |
| 4 | Money Flow Index ✓ | Daily | 5.4% | 0.34 | -66.4% | 58.5% | 118 | -0.5% |
| 5 | Stochastic ✓ | Daily | 4.7% | 0.32 | -63.2% | 66.7% | 144 | -1.2% |
| 6 | Stochastic ✓ | Weekly | 4.5% | 0.31 | -67.2% | 70.0% | 30 | -1.3% |
| 7 | Holy Grail Confluence ✓ | Daily | 3.4% | 0.29 | -61.5% | 72.5% | 40 | -2.5% |
| 8 | Bollinger Mean-Reversion ✓ | Weekly | 2.5% | 0.26 | -35.3% | 80.0% | 15 | -3.3% |
| 9 | Money Flow Index ✓ | Weekly | 5.5% | 0.37 | -53.1% | 80.0% | 10 | -0.3% |
| 10 | CCI ✓ | Weekly | 2.8% | 0.24 | -55.1% | 85.2% | 27 | -3.0% |
| 11 | WaveTrend (8/6/4) | Weekly | 2.7% | 0.23 | -69.2% | 77.8% | 18 | -3.1% |
| 12 | Williams %R | Daily | 2.0% | 0.2 | -73.6% | 69.0% | 184 | -3.9% |
| 13 | SMA 50/200 Cross ✓ | Daily | 1.6% | 0.19 | -67.3% | 20.0% | 25 | -4.3% |
| 14 | Williams %R ✓ | Weekly | 1.5% | 0.18 | -67.2% | 73.0% | 37 | -4.3% |
✓ = held up out-of-sample. Hypothetical, costs included. See methodology.
For Cocoa (CC), WaveTrend (8/6/4) on the daily timeframe gave the best balance of return and risk in our test. It beat buy-and-hold — but remember: this is a hypothetical backtest of a standard rule, not a recommendation. Markets change. See the methodology and disclaimer.
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