TradingCharts

Dext RSI Divergence

Treat regular bullish divergence at support after a downtrend as a reversal setup; enter on a trigger such as a break of the recent lower high, not on the divergence alone.

What it does

Automatically detects divergences between price pivots and RSI pivots and draws them on the chart. Regular bullish divergence appears when price prints a lower low but RSI prints a higher low; regular bearish divergence is a higher price high with a lower RSI high; many implementations also flag hidden divergences, which point to trend continuation rather than reversal. Divergence reveals that the momentum behind successive price extremes is fading before price itself turns.

Typeoscillatorseparate pane

How to add it

Click Indicators (ƒx) in the header.

Search “Dext RSI Divergence” and click the result.

Hover its legend row and click the gear to open settings.

How traders use it

  • Treat regular bullish divergence at support after a downtrend as a reversal setup; enter on a trigger such as a break of the recent lower high, not on the divergence alone.
  • Regular bearish divergence at resistance after an extended rally warns longs to tighten stops or take profits.
  • Hidden divergences (higher price low with lower RSI low in an uptrend) favor continuation entries in the trend direction.
  • Divergences formed in RSI's extreme zones (below 30 or above 70) and on higher timeframes carry more weight.
  • Stack confluence: divergence plus a key level plus a reversal candle is far stronger than divergence alone.

Inputs

Input Type Default Range / Options
Fast RSI Length number 5 1–500
Slow RSI Length number 14 1–500

Plots & styling

Plot Style Default color
Divergence histogram #26A69A

Every plot's color, line width and visibility can be changed on the Style tab. Precision, price-scale labels and status-line values are configurable at the bottom of the Style tab.

Tips

  • Use Add to favorites in the legend menu; starred studies surface at the top of the picker.
  • Reference levels (where the study has them) are editable — tune them to the instrument you're trading.
  • Hide the study from the legend eye instead of removing it when you only want it out of the way temporarily.

Watch out for

  • Divergences repaint in the sense that pivots need bars to confirm, and in strong trends multiple divergences can print and fail sequentially before any reversal.
  • Divergence signals fading momentum, not an imminent turn; timing entries off it without a price trigger routinely means catching falling knives.