The best indicator for Health Care (XLV)
We backtested 382 indicators across daily, weekly and hourly charts on real Health Care (XLV) history. Here's what actually worked — risk-adjusted over the full backtest, with costs, and checked out-of-sample.
Where Health Care (XLV) stands
Computed from our own daily OHLCV history, not quoted from a third party. Moving averages use closing prices; "52-week" is the last 252 trading sessions.
Markov Regime
On the weekly chart, this is the strongest risk-adjusted edge we found for Health Care (XLV) over ~27.9 years — beating buy-and-hold by 0.8% CAGR.
Health Care (XLV) on the weekly chart
The timeframe our backtest found best for this asset. The chart is live market data; the results above are hypothetical and historical.
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Best multi-indicator combo
Going long only when all 2 agree was the strongest confluence setup we found for Health Care (XLV) — trailing buy-and-hold by 4.1% 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 | Markov Regime ✓ | Weekly | 9.4% | 0.68 | -32.1% | 80.5% | 41 | 0.8% |
| 2 | Zero-Lag LSMA ✓ | Weekly | 6.3% | 0.65 | -19.5% | 58.7% | 104 | -2.3% |
| 3 | VWAP Bands ✓ | Weekly | 4.9% | 0.62 | -20.2% | 86.4% | 22 | -3.7% |
| 4 | Keltner Mean-Reversion ✓ | Weekly | 4.2% | 0.6 | -14.7% | 93.3% | 15 | -4.4% |
| 5 | Bollinger Mean-Reversion ✓ | Weekly | 5.1% | 0.58 | -20.2% | 92.0% | 25 | -3.4% |
| 6 | Stochastic ✓ | Weekly | 4.8% | 0.58 | -18.9% | 96.0% | 25 | -3.8% |
| 7 | Fibonacci Bands ✓ | Weekly | 5.1% | 0.58 | -20.2% | 92.0% | 25 | -3.4% |
| 8 | EMA 200 Trend ✓ | Weekly | 6.7% | 0.56 | -27.8% | 38.1% | 21 | -1.9% |
| 9 | Order-Flow Reversion ✓ | Weekly | 4.4% | 0.56 | -20.2% | 94.7% | 19 | -4.2% |
| 10 | CCI ✓ | Weekly | 4.5% | 0.53 | -18.7% | 100.0% | 25 | -4.0% |
| 11 | Lorentzian Classification ✓ | Weekly | 6.9% | 0.53 | -31.0% | 62.4% | 213 | -1.6% |
| 12 | HMA 9/21 Cross ✓ | Weekly | 5.1% | 0.52 | -24.5% | 63.3% | 90 | -3.5% |
| 13 | WMA 200 Trend ✓ | Weekly | 5.9% | 0.52 | -24.4% | 64.7% | 17 | -2.6% |
| 14 | McGinley 100 Trend ✓ | Weekly | 7.0% | 0.52 | -40.2% | 33.3% | 15 | -1.6% |
✓ = held up out-of-sample. Hypothetical, costs included. See methodology.
What it would take to beat buy & hold on Health Care (XLV)
1 of 674 tested setups beat buy-and-hold on Health Care (XLV) outright. Another 213 could get there with leverage they would survive — but 166 would be liquidated by their own drawdown before they caught it.
| Indicator | Beats B&H unlevered | Leverage needed | Leverage survived |
|---|---|---|---|
| Demand Index | 1 | 3.6× | 4.81× |
| MA Envelope | — | 1.32× | 5.04× |
| Williams %R | — | 1.65× | 4.67× |
| QQE | — | 1.69× | 3.54× |
| Chande Forecast Osc. | — | 2.03× | 5.52× |
| Fisher Transform | — | 2.05× | 5.47× |
Out-of-sample, costs included. A setup is only listed if the leverage it needs is less than the leverage its own worst drawdown survives — when it isn't, no amount of leverage gets there. Volatility drag isn't modelled, so these are the optimistic case. Every indicator, ranked this way
For Health Care (XLV), Markov Regime on the weekly 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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