RSI Divergence

//@version=6
// RSI Divergence Indicator — quality-anchor example for the `pine` skill.
// Detects regular bullish and bearish divergences between price and RSI by
// comparing successive pivot lows / highs within a configurable lookback range.
indicator(
     title="RSI Divergence (v6 reference)",
     shorttitle="RSI Div",
     overlay=false,
     format=format.price,
     precision=2,
     max_labels_count=500,
     max_lines_count=500)

// ─── Inputs ──────────────────────────────────────────────────────────────────
rsi_length    = input.int(14,  title="RSI length",          minval=2,  maxval=200)
rsi_src       = input.source(close, title="RSI source")
pivot_left    = input.int(5,   title="Pivot lookback left",  minval=1,  maxval=50)
pivot_right   = input.int(5,   title="Pivot lookback right", minval=1,  maxval=50)
range_min     = input.int(5,   title="Min bars between pivots", minval=1,  maxval=100)
range_max     = input.int(60,  title="Max bars between pivots", minval=5,  maxval=500)
rsi_overbought = input.int(70, title="RSI overbought",       minval=50, maxval=100)
rsi_oversold   = input.int(30, title="RSI oversold",         minval=0,  maxval=50)
show_labels   = input.bool(true, title="Show divergence labels")

// ─── Core calculation ────────────────────────────────────────────────────────
rsi = ta.rsi(rsi_src, rsi_length)

// Confirmed pivot levels for both RSI and price.
// A confirmed pivot exists `pivot_right` bars back when it is found.
rsi_pl   = ta.pivotlow(rsi,   pivot_left, pivot_right)
rsi_ph   = ta.pivothigh(rsi,  pivot_left, pivot_right)
price_pl = ta.pivotlow(low,   pivot_left, pivot_right)
price_ph = ta.pivothigh(high, pivot_left, pivot_right)

// Track the most recent confirmed pivots and their bar indices.
var float last_rsi_pl_val      = na
var int   last_rsi_pl_bar      = na
var float last_rsi_ph_val      = na
var int   last_rsi_ph_bar      = na
var float last_price_pl_val    = na
var float last_price_ph_val    = na

bull_div = false
bear_div = false

// ─── Bullish divergence: price lower-low, RSI higher-low ─────────────────────
if not na(rsi_pl) and not na(price_pl)
    bars_since_prev = na(last_rsi_pl_bar) ? na : (bar_index - pivot_right) - last_rsi_pl_bar
    in_range = not na(bars_since_prev) and bars_since_prev >= range_min and bars_since_prev <= range_max
    if in_range
        price_lower_low = price_pl < last_price_pl_val
        rsi_higher_low  = rsi_pl   > last_rsi_pl_val
        oversold_zone   = last_rsi_pl_val < rsi_oversold or rsi_pl < rsi_oversold
        bull_div := price_lower_low and rsi_higher_low and oversold_zone
    // Update trackers regardless of divergence outcome.
    last_rsi_pl_val   := rsi_pl
    last_rsi_pl_bar   := bar_index - pivot_right
    last_price_pl_val := price_pl

// ─── Bearish divergence: price higher-high, RSI lower-high ───────────────────
if not na(rsi_ph) and not na(price_ph)
    bars_since_prev = na(last_rsi_ph_bar) ? na : (bar_index - pivot_right) - last_rsi_ph_bar
    in_range = not na(bars_since_prev) and bars_since_prev >= range_min and bars_since_prev <= range_max
    if in_range
        price_higher_high = price_ph > last_price_ph_val
        rsi_lower_high    = rsi_ph   < last_rsi_ph_val
        overbought_zone   = last_rsi_ph_val > rsi_overbought or rsi_ph > rsi_overbought
        bear_div := price_higher_high and rsi_lower_high and overbought_zone
    last_rsi_ph_val   := rsi_ph
    last_rsi_ph_bar   := bar_index - pivot_right
    last_price_ph_val := price_ph

// ─── Plots ───────────────────────────────────────────────────────────────────
plot(rsi, title="RSI", color=color.new(color.purple, 0), linewidth=2)
hline(rsi_overbought, title="Overbought", color=color.new(color.red,   60), linestyle=hline.style_dashed)
hline(50,             title="Midline",    color=color.new(color.gray,  70), linestyle=hline.style_dotted)
hline(rsi_oversold,   title="Oversold",   color=color.new(color.green, 60), linestyle=hline.style_dashed)

// Divergence markers on the RSI pane, offset back to the pivot bar.
plotshape(bull_div, title="Bullish divergence",
     style=shape.triangleup,
     location=location.bottom,
     color=color.new(color.green, 0),
     size=size.small,
     offset=-pivot_right)
plotshape(bear_div, title="Bearish divergence",
     style=shape.triangledown,
     location=location.top,
     color=color.new(color.red, 0),
     size=size.small,
     offset=-pivot_right)

if show_labels and bull_div
    label.new(
         x=bar_index - pivot_right,
         y=rsi_pl,
         text="Bull",
         style=label.style_label_up,
         color=color.new(color.green, 20),
         textcolor=color.white,
         size=size.small)

if show_labels and bear_div
    label.new(
         x=bar_index - pivot_right,
         y=rsi_ph,
         text="Bear",
         style=label.style_label_down,
         color=color.new(color.red, 20),
         textcolor=color.white,
         size=size.small)

// ─── Alerts ──────────────────────────────────────────────────────────────────
alertcondition(bull_div and barstate.isconfirmed,
     title="RSI Bullish Divergence",
     message="Bullish RSI divergence confirmed on {{ticker}} ({{interval}})")
alertcondition(bear_div and barstate.isconfirmed,
     title="RSI Bearish Divergence",
     message="Bearish RSI divergence confirmed on {{ticker}} ({{interval}})")