Have a look at Pair Trading at Wealth-Lab.com under strategies. That's the best overbought, oversold shell model program out there, and was written circa March 2000 in Active Trader Magazine. Requires substantial mods, but the shell indicator is in tact.
What did you have the period set to? I set it to 9 at 15 min interval charts and it seemed to do its job.
I use 3 min charts and I only use stochs to guide exits and very occasionally entries in a range or a trending range. I actually didn't trade AIG today, though when it drifted down slowly after the first 2-leg run up and consolidated it looked like a good long and I'm still regretting not buying it at that point.