The best indicator for AUD/NZD
We backtested 382 indicators across daily, weekly and hourly charts on real AUD/NZD history. Here's what actually worked — risk-adjusted, out-of-sample, with costs.
DMI Direction
On the daily chart, this is the strongest risk-adjusted edge we found for AUD/NZD over ~23.3 years — beating buy-and-hold by 4.1% CAGR.
Best multi-indicator combo
Going long only when all 2 agree was the strongest confluence setup we found for AUD/NZD — beating buy-and-hold by 2.9% CAGR, out-of-sample. Fewer, higher-conviction trades than any single indicator.
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 | DMI Direction ✓ | Daily | 4.5% | 0.97 | -6.9% | 31.1% | 241 | 4.1% |
| 2 | DeMarker (7) ✓ | Daily | 3.4% | 0.74 | -12.7% | 29.1% | 423 | 3.1% |
| 3 | Parabolic SAR ✓ | Daily | 3.3% | 0.69 | -11.9% | 36.6% | 292 | 2.9% |
| 4 | Fisher Transform ✓ | Daily | 3.0% | 0.63 | -23.7% | 34.2% | 585 | 2.7% |
| 5 | ADXR ✓ | Daily | 2.4% | 0.62 | -7.9% | 33.1% | 160 | 2.1% |
| 6 | Parabolic SAR (fast) ✓ | Daily | 3.0% | 0.62 | -20.5% | 34.9% | 453 | 2.7% |
| 7 | Impulse MACD ✓ | Daily | 1.8% | 0.57 | -7.1% | 35.0% | 280 | 1.5% |
| 8 | ADX / DMI ✓ | Daily | 2.0% | 0.54 | -8.4% | 35.0% | 143 | 1.7% |
| 9 | Vortex (7) ✓ | Daily | 2.5% | 0.54 | -14.6% | 31.4% | 427 | 2.2% |
| 10 | DeMarker (21) ✓ | Daily | 2.4% | 0.53 | -9.8% | 32.7% | 223 | 2.1% |
| 11 | CCI Trend ✓ | Daily | 2.4% | 0.52 | -9.8% | 29.1% | 265 | 2.1% |
| 12 | Woodies CCI ✓ | Daily | 2.1% | 0.5 | -14.1% | 34.7% | 447 | 1.8% |
| 13 | CCI (14) ✓ | Daily | 2.3% | 0.49 | -10.8% | 30.1% | 336 | 2.0% |
| 14 | DeMarker (14) ✓ | Daily | 2.1% | 0.47 | -11.1% | 32.4% | 290 | 1.8% |
✓ = held up out-of-sample. Hypothetical, costs included. See methodology.
For AUD/NZD, DMI Direction 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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