A textbook divergence, and price keeps falling
Price prints a new low, but the RSI, a momentum indicator, stays above its previous low. That mismatch is a bullish divergence: sellers look tired, and you expect a bounce. Price keeps sliding, and a few candles later the same pattern appears again, a little lower.
In a strong trend, a divergence can appear, fail and appear again: it says momentum is fading, not that the trend is over. To read it, you need what surrounds it: the shape of the recent swings and the trend on other timeframes. PulseFlow RSI Deep Buyer/Seller marks the divergence; PulseFlow Pivot Up & Down and PulseFlow Strong Trend Detector bring the rest onto the same chart.
RSI Deep Buyer/Seller: the divergence and its plan
RSI Deep Buyer/Seller uses the RSI to mark divergences on your chart. Not every one gets a plan: it separates the divergences it detects from those that meet the entry filters you configure. When one does, it adds an entry reference, a stop and six price targets.
Pivot Up & Down: the swings around it
Pivot Up & Down draws a red triangle above each swing high and a green one below each swing low, the points where price turned, and nothing else. Lower highs and lower lows describe a downtrend; higher highs and higher lows, an uptrend.
Next to a divergence, the triangles answer two questions. Is the run of lower highs and lower lows still intact? And which swing high would price have to clear to break it?
Strong Trend Detector: the trend behind it
Strong Trend Detector is also based on the RSI, but takes a wider view: it brings readings from different timeframes into a separate pane below price and shows a bullish, bearish or neutral state. You can consult daily, weekly and monthly information and receive strong-trend alerts.
Next to a bullish divergence, a bearish state means the possible turn is pushing against the trend the pane describes. With a neutral state, no bearish trend stands in the way of the turn. A reading from a period still open, such as the current week, can change until that period closes.
Three weeks down, one bullish divergence
Imagine a 15-minute chart of a market that has fallen for three weeks. Price prints a new low, and RSI Deep Buyer/Seller marks a bullish divergence that meets your filters: the entry reference, the stop and the targets appear.
On Pivot Up & Down, the red and the green triangles both step lower. The last red one, a lower high, sits just above the entry reference. And the Strong Trend Detector pane shows a bearish state.
Now you see what the divergence is up against: a bearish trend and a swing high that price has not cleared. You might wait to see whether price gets above it, use it as a reference for your own levels, or let this divergence go. With a neutral pane and swings that no longer make lower lows, the divergence would be the same; what it faces would not. The bearish case works in reverse.
Setting it up on one chart
Basic, TradingView's free plan, allows two indicators per chart: enough for two of the PulseFlow indicators, not for the third. Pivot Up & Down works on any symbol and timeframe.
In Pivot Up & Down, “Bars on each side” sets how big a swing must be: more candles keep only the bigger ones. A swing is confirmed once those candles have closed to its right, and only then does its triangle appear, drawn back on the pivot candle, so the low of the divergence may not have one yet. The alerts “Pivot high confirmed” and “Pivot low confirmed” fire at the close of the confirming candle and tell you when that low gets its triangle, if it does.
The divergence, in context
RSI Deep Buyer/Seller and Strong Trend Detector both start from the RSI: when they agree, you are hearing one source twice. Pivot Up & Down, built from candle highs and lows, is the reading that does not come from the RSI.
Together, the three put each divergence in its setting: you can tell which ones appear with the pane in neutral and which run into a trend going the other way, and give your attention to the ones you care about.
Prices for PulseFlow indicators are not active for now: details are in the pricing section. Put Pivot Up & Down and Strong Trend Detector next to the divergences you already spot by eye.